Home » Departments » Welcome to the Revenue Department  » In Rem Foreclosure Process


How Does In Rem Tax Foreclosure Work?


N.C.G.S. 105-375


1. Property is assigned to the Tax Paralegal for foreclosure


2. Courtesy letter sent asking taxpayer to contact our Tax Paralegal to prevent foreclosure


3. Tax Paralegal works with taxpayer to collect taxes or failure to respond results in moving forward with foreclosure action


4. Tax Paralegal completes title search


5. Tax Paralegal visits the property/posts Notice of Docketing Tax Foreclosure Judgment


6. Certified Letter mailed to owner(s), lienholders, judgment creditors and any persons who may have an interest


7. All parcels with unclaimed letters will have a Notice of Docketing Judgment advertised in The Daily Courier


8. Judgment for Delinquent Taxes is docketed with the Rutherford County Clerk of Court’s Office


9. 90 days after docketing, a Request of Execution is filed with the Rutherford County Clerk of Court


10. Order of Execution is signed by the Clerk of Court and the case is turned over to the Sheriff


11. A sale date is scheduled


12. Notice of Sale mailed to owner(s), lienholders, judgment creditors and any persons who may have a legal interest


13. Notice of Sale is posted at the Rutherford County Courthouse and outside the tax collections door.


14. Sheriff posts a Notice of Sale at the property


15. Notice of Sale advertised in The Daily Courier


16. Ad placed at www.rutherfordcountync.gov website, under tax foreclosure link


17. Revenue Department prepares an opening bid for the taxes owed (this is a total of the taxes and foreclosure costs)


18. Auction held on the courthouse steps


19. Sheriff reads the Notice and opens the bidding for the minimum bid amount set by the tax office


20. Anyone present at auction may bid the minimum amount or any higher amount


21. The high bidder on the day of auction must make a deposit of $750 or 50% or the bid amount, whichever is higher (must be paid w/cash, certified funds, money order at the end of the sale)


22. Bidding is held open for 10 days for the filing of an upset bid with the Rutherford Co. Clerk of Court’s Office


23. All upset bids must raise the current bid by $750 or 5%, whichever is greater


24. It is the high bidders responsibility to keep check on the status of his/her bid with the Rutherford Co. Clerk of Courts Office


25. The Sheriff will mail out a Notice of Upset Bid and/or call number requested, but due to USPS you may not receive said notice before the expiration of upset bidding


26. If your bid is upset you can request a refund of your deposit or you can raise the most current bid


27. Each time a new bid is placed, the upset bidding phase is extended for 10 more days


28. At the end of 10 consecutive days w/no upset bidding, the Sheriff will request the clerk to sign an Order of Confirmation


29. The balance of the bid is due within 10 days to the Sheriff


30. Once funds are collected in full, the Sheriff will prepare a Sheriff’s Deed to the high bidder, it will be recorded in the Rutherford Co. Register of Deeds Office and the original deed will be forwarded to the new owner after the recording process is complete


31. Upon full payment of funds and the recordation of the Sheriff’s Deed, the Tax Paralegal will file a Cancellation of Judgment to close the case.


VISIT THIS LINK TO VIEW UPCOMING FORECLOSURES: http://www.rutherfordcountync.gov/Departments/tax/foreclosuresaledates



Direct all inquires to the Tax Paralegal, Jennifer Whiteley at 828-287-6181 or jennifer.whiteley@rutherfordcountync.gov