Besides unpaid property taxes, what other charges should I check before bidding at a tax sale?

Property taxes are the reason a tax sale is happening, but they are rarely the only amount owed against a distressed property, so it is worth looking beyond the cancellation price itself. Unpaid municipal water and utility charges, local improvement charges for things like sewer or road work, and other municipal levies can also be outstanding, and depending on how they are treated, some of these may need to be addressed by a new owner even after a completed tax sale.

Because a tax sale does not necessarily come with the same statement-of-adjustments process used in an ordinary closing, a buyer bidding at tender does not automatically get a clean accounting of every charge connected to the property the way they would in a typical purchase. Requesting a tax certificate or equivalent search from the municipality, and asking specifically about utility and local improvement arrears, is a reasonable step before committing to a bid.

Have your lawyer request a full municipal search on the property, not just confirmation of the property tax arrears, before you decide how much to bid.