Selling land with back taxes in Michigan

How Michigan handles unpaid property taxes

Michigan's tax sale process is set by state statute. The redemption rule below explains how long an owner has to pay and keep the land.

The redemption rule in Michigan: The owner can redeem until the March 31 after the court's foreclosure judgment, or within 21 days of it in a contested case. Redeeming takes payment of all delinquent taxes, interest, penalties and fees. The judgment follows forfeiture to the county treasurer, which happens on March 1 once taxes are a full year delinquent. After the redemption deadline, title vests in the county or state with no further right of redemption. A former owner can claim sale proceeds above the minimum bid only by filing a notarized notice by the July 1 after foreclosure takes effect.

Law: MCL 211.78a, 211.78g, 211.78k and 211.78t. Rules change, so confirm with the county tax collector.

What to do before the tax sale

• Call the county tax office and get the exact amount owed and the next sale date.
• Decide whether you want to keep the land. If not, selling before the sale stops the interest and penalties from growing.
• Gather the parcel number and any tax bills. A buyer and the title company need them to order a payoff.

Michigan land at a glance

• Average farm real estate value: $7,000 per acre (2026, USDA).
• Average property tax on farmland: about $31.06 per acre per year (2022 Census of Agriculture).
• Transfer tax: $3.75 per $500 of value (0.75%), plus a county tax of 55 cents per $500 (0.11%), about 0.86% in total. Written instruments with consideration under $100 are exempt from both taxes.
• Seller disclosure: Michigan's seller disclosure form is not required for vacant land, but deeds for unplatted land must carry division-right and right-to-farm statements. The Seller Disclosure Act covers only 1 to 4 residential dwelling units (MCL 565.952). The deed statements are required by MCL 560.109(3) and (4). A seller who knows part of the land is a contaminated site must give the buyer written notice before the transfer (MCL 324.20116).

These are statewide averages, not an appraisal. See selling land in Michigan for county values, or try the land value estimator.

How a cash sale handles this

Liberty Acres is a family-owned cash land buyer. We buy land anywhere in the US, in any condition, including land with back taxes, inherited land and land with no road access. We pay back taxes and all closing costs, use no agents and charge no commissions, and close through a title company, escrow company or real estate attorney who pays you by wire or check.

Common questions