What you need to know about Kelowna Property Tax Sales

Posted by on Dec 6, 2011 in Jesse's Blog | Comments Off

Tax Sale Information

Everyone loves a deal and City Property Tax Sales sound fantastic.   Here is what you need to know about buying property from the City of Kelowna and the District of West Kelowna at their annual tax sales.

Firstly, the City of Kelowna and the District of West Kelowna are governed by the Local Government Act which states that the city is required to sell at Tax Sale all properties whose taxes have not been paid for THREE YEARS.  The tax sales are held annually in all municipalities on the last Monday in September.  On that day the Collector has the authority to sell a property for what is called the “Upset Price”  which equals the balance of taxes, penalties, interest, 5% tax sale costs, and Land Title Office fees.

What’s the catch you might ask.  The catch is that the registered owner as well as any holder of a registered charge against the title may redeem the property within one year of the sale.  In that case the the Collector will refund to the Purchaser, the purchase price, plus interest to the date of redemption with the interest set by the province.

In reality tax sales are a good place to earn a secured rate on your investment however in Kelowna and West Kelowna we have a very small chance of title actually changing hands.

For More information go to http://www.kelowna.ca/CM/page1321.aspx or http://www.districtofwestkelowna.ca/index.aspx?page=143