Motley's Auction and Realty Group conducts the sale of tax delinquent properties on behalf of the city of Richmond. Below are the
basic steps a person interested in purchasing a tax delinquent property should take:
If you have additional questions regarding the Tax Sale Process, please read through the Frequently Asked Questions below.
How do I purchase a Tax-Delinquent Property?
Motley's Auction and Realty Group conducts the sale of tax-delinquent properties on behalf of the city of Richmond. Below are the basic steps a person interested in purchasing a tax-delinquent property should take:
- Review the Tax Sale Database.
- Visit Motley's Group to view additional details and information.
- Complete the Public Auction Form and bring it with you to the public auction. Filling this form out ahead of time will speed up your wait time in the registration line at the auction.
When can the city initiate the sale of tax-delinquent property?
Virginia code 58.1-3965 currently authorizes the city to initiate the sale of tax-delinquent property on December 31 following the second anniversary of the date on which such taxes have become due.
What if the property I am interested in is not currently in the tax sale process?
You can complete a Tax Sale Special Request Form and send it
to the city's Tax Sale Review Committee. The committee will review the request to see if the property meets the criteria to be
included in the tax sale process.
Does the city place all tax-delinquent properties into the tax sale process?
No. A property must meet certain statutory requirements before it can be placed in the tax sale process and properties are also prioritized
according to factors such as public safety issues, blight/condition, the number of years delinquent and amount of delinquency.
Does the city require that persons who purchase though the tax sale rehabilitate the property?
The city will not accept bids from a person who owes taxes to the city or has outstanding code violations. The owner is subject to building
code requirements, future real estate taxes and other applicable laws. Certain properties are sold with development agreements that
require purchasers to make improvements within a specific time frame.
If I purchase property through the tax sale, am I required to pay the delinquent taxes?
No. The property sells for the amount of the highest bid. The court orders the property sold free of liens and encumbrances. The purchaser
receives a special warranty deed.
How much of a down payment is required when you purchase a tax-delinquent property at auction?
A minimum of $2,500 or 20% of the winning bid price, whichever is greater.
What are the required deposits for public auction properties?
The public auction properties require a 20% down or $2,500, whichever is greater, on the day of the auction.
The funds must be in the form of
- cash
- certified check
- personal check with a bank letter of guarantee
- major credit card plus a three-percent fee on the total amount charged
In order to participate in the public auction you must complete the auction registration form and bring it with you the day of the auction.
For specific details or a bidder packet, please contact Motley's Auction House.
How do I pay for my public auction properties and when is the payment due?
All payments for tax sale properties must be made in the form of cash or certified bank funds. The city does not offer assistance in the
purchasing of any of these properties. The payment is generally due seven days prior to the court's confirmation of the sale. Specific
times and arrangements for payment can be made directly with the appropriate attorney who is handling the tax sale case. Payment must be
received in full prior to court confirmation in order to allow the sale to be finalized and the new deed recorded.
How quickly can a new deed be recorded?
Once all payments have been received and confirmation of the sale has occurred, your new deed will recorded by the city. Buyers are required
to pay the recordation cost and all related taxes. Each bidder will receive a letter prior to closing stating the exact cost of all fees.
A copy of the new deed will be mailed to the buyer after it has been recorded.
What is city-owned surplus property?
Surplus property consists of land and buildings that are owned by the city of Richmond but that have been determined to be surplus by their
agency and City Council. Once a property is declared surplus, it is then submitted to the Asset Management Division of Economic and Community Development for review to decide whether the
property can be placed on the surplus list or if it will be sold by Request for Proposal (RFP).
All sales must be approved by the city administration and City Council.
Richmond City Code concerning city surplus property
How can I purchase city-owned surplus property?
Interested buyers may submit a letter to Economic & Community Development expressing interest in a particular property. The
Surplus Property Offer Letter
should include:
- Address of the property(ies)
- Offer price(s)
- Intended use of property(ies)
- Certified check which is 10% of the offer price or $100, whichever amount is greater, as good faith deposit.
All letters should be mailed to
Attention: Asset Management Division Head
Department of Economic & Community Development
1500 East Main Street, Suite 400
Richmond, VA 23219
