Behind on Property Taxes? You Can Still Sell Your Tennessee Land

We talk with a lot of Tennessee landowners who are behind on their property taxes. Some are one year behind. Some are ten. Many of them are a little embarrassed to bring it up, and they expect us to say the land can’t be sold until the county is paid.

That’s almost never the case. In most sales, the back taxes are simply paid out of the sale money at closing. You don’t have to come up with the cash first.

Is It Unusual to Be Behind on Land Taxes?

Not at all. It happens to good people all the time. The tax bills went to an old address. The land was inherited and nobody knew who was supposed to pay. Or it was bought years ago and slipped out of mind. A small yearly bill on vacant land is easy to lose track of, and after a few years of interest and penalties it can add up fast.

Counties, title companies, and buyers like us deal with this every week. It’s a common problem with a clear fix.

What Happens When Tennessee Property Taxes Go Unpaid?

In Tennessee, property taxes are due in the fall and become delinquent on March 1 of the next year. After that, the county adds interest and penalties, often about 1.5% per month combined, though it can vary by county.

If the taxes stay unpaid, the county eventually files a lawsuit in Chancery Court to collect, and the land can be sold at a public tax sale. Blount County’s tax sale page is a good example of how the process works. It usually takes a few years to get to that point, but it does happen.

Think of back taxes as a clock, not a wall. You have time to sell, but the longer you wait, the more you owe and the closer the county gets to selling the land itself.

Can I Sell Before Paying the Taxes?

Yes. Here’s how it works:

1. Once you accept an offer, the title company gets the exact amount owed from the county, including interest and penalties up to the closing date.
2. That amount shows up as a line on your settlement statement, so you can see it in black and white.
3. At closing, the title company pays the county directly out of the sale money.
4. You receive the rest, and the tax lien is cleared.

You never have to write the county a check yourself. Back taxes are one of the easier title problems to clear because the amount owed is public record. If your land has other paperwork problems too, read Mistakes on Your Deed? How Your Tennessee Land Can Still Be Sold.

What If I Owe More Than the Land Is Worth?

It’s rare with vacant land, because taxes on raw land are usually low. But it can happen. If the numbers are tight, we’ll look at it honestly and tell you where you stand. If the deal doesn’t make sense, we’ll tell you that too, instead of stringing you along.

What If the County Already Sold My Land at a Tax Sale?

It may not be too late. In Tennessee, after a tax sale, the owner usually has a redemption period to pay what’s owed and get the land back. How long you have depends on how many years the taxes were behind:

• Up to 5 years behind: usually 1 year
• More than 5 but less than 8 years behind: usually 180 days
• 8 or more years behind: usually 90 days

The clock starts when the court confirms the sale. You can read more on Tennessee’s redemption rules from Nolo and the Shelby County Trustee’s redemption page. Every situation is different, so call quickly. Each week that passes narrows your options.

One more thing: if your land sold at a tax sale for more than you owed, the extra money may belong to you. It’s usually held by the county Clerk and Master. Blount County explains how excess proceeds work. Call the Clerk and Master’s office yourself before paying a “finder” a big percentage to claim it for you.

What Do You Have to Do?

Very little. You don’t need to visit the Trustee’s office or the property. Your part is a phone call, verifying your ID with the title company, signing the closing papers with a mobile notary, and choosing how you want to be paid. Our team looks up the tax history and works with the title company on the rest.

Watch Out for These Red Flags

Some buyers use back taxes as an excuse to make a very low offer. Ask to see the real payoff amount. It’s public record, and an honest buyer will show it to you on the settlement statement, dollar for dollar.

Be even more careful with anyone who asks you to sign the land over to “get the taxes off your hands” without a title company involved. That’s not how a real sale works. For more on spotting dishonest buyers, read our guide from a retired law enforcement officer: How to Protect Your Land From Scams: A Retired Law Enforcement Officer’s Guide for Tennessee Landowners

Selling land can also affect your income taxes. We don’t give tax advice, so a quick call with a CPA before closing is a smart move.

About Copco Properties

Copco Properties is Owned and Operated by a Retired Law Enforcement Officer and a Military Veteran. In law enforcement, when someone called with a problem, the job was to show up, listen, get the facts, and help solve it. We bring that same approach to land. Back taxes, inherited property, title problems, no road access: these are the situations we work through every day. Brent, our military veteran, served at Fort Campbell and brings the same commitment to doing the job right and seeing it through.

• No commissions and no hidden fees.
• Every sale closes at a reputable title company.
• We’re up front about everything, and we’ll explain every number and every step in plain English.
• No pressure. Take all the time you need.

If you’re behind on taxes on your Tennessee land, call us at 615-610-3303 or fill out the short form on our website. We’ll look up the tax history ourselves and give you a free, no-obligation offer, with the taxes handled right at closing.