Selling land with back taxes in North Carolina

How North Carolina handles unpaid property taxes

North Carolina enforces unpaid taxes against the land itself, not just a lien on it. Once your redemption rights end, ownership passes, and in some states that happens before any auction. The rule below says when, so plan to sell before then.

The redemption rule in North Carolina: Judicial tax foreclosure. A person can redeem by paying the taxes, penalties, interest and costs until the court confirms the sale. A commissioner's fee of up to 5% of the price is added if redemption comes after the sale. Upset bids can be filed for 10 days after the sale is reported, and each upset bid starts a new 10-day period. Under the alternative in rem route (105-375), the sheriff sells under execution, and paying the judgment in full before the sale cancels it.

Law: N.C.G.S. 105-374, 105-375, 1-339.25. 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.

North Carolina land at a glance

• Average farm real estate value: $5,750 per acre (2026, USDA).
• Average property tax on farmland: about $19.99 per acre per year (2022 Census of Agriculture).
• Transfer tax: $1.00 on each $500 (or fractional part) of the consideration or value (about 0.2%), paid to the register of deeds before the deed is recorded.
• Seller disclosure: No statewide condition disclosure form applies to vacant land, but a lot in a residential subdivision with a new street can need a streets disclosure. The Residential Property and Owners' Association Disclosure Act covers only property with one to four dwelling units. The streets rule covers subdivisions created since October 1, 1975 with a new or changed street, mainly outside city limits (G.S. 136-102.6). There, the developer and seller must give the buyer a subdivision streets disclosure statement before any agreement or sale.

These are statewide averages, not an appraisal. See selling land in North Carolina 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