To buy property at a Montgomery County, NY tax auction, you register through the county’s designated online auction platform before the deadline, research any parcel you’re interested in on your own, and show up ready to pay a down payment plus a buyer’s premium the moment you win, with the balance due within roughly 30 days. Everything sells as-is, and the county makes no promises about condition, occupants, or clear title. Preparation is what separates a good buy from an expensive mistake.
Where to Find the Property List
The Montgomery County Treasurer’s Office maintains the list of parcels scheduled for auction. Recent sales have run through third-party platforms such as Collar City Auctions, where each parcel is posted online with photos, bidding schedule, and the Terms of Sale.1Collar City Auctions. 2026 Montgomery County Tax Foreclosed Real Estate Auction The platform can change from year to year, so confirm the current site with the Treasurer’s Office before you spend time on any listing.
Each listing shows the Section, Block, and Lot (SBL) number, the street address, and the name of the owner at the time of foreclosure. The SBL is what you’ll use to pull records at the County Clerk’s Office and to look up tax maps. Lists usually go live weeks before bidding opens. Use that lead time.
Registering to Bid
You have to register through the auction platform before the posted cutoff. Registration requires a government-issued photo ID and either a Social Security Number or an Employer Identification Number for tax reporting. Enter your name exactly the way you want it to appear on the deed. Corrections after the sale mean delays and extra fees.
Not everyone is eligible. Anyone with delinquent property taxes in Montgomery County is barred, along with certain county employees and officials. Read the Terms of Sale document completely before you register. It sets out the buyer’s premium, deposit rules, payment deadlines, and every other obligation you’re accepting when you bid. Buyers who skip it sometimes discover mid-auction that they’ve committed to conditions they never saw.
Due Diligence Before You Bid
Every parcel sells as-is. The county makes no representations about the condition of buildings, environmental problems, or whether the land can actually be used the way you want. Treat every listing as an unknown until your own research proves otherwise.
Title and Liens
A tax foreclosure clears most prior claims. Under RPTL Section 1136, the deed conveys fee simple absolute and prior rights, titles, interests, and liens are “barred and forever foreclosed.”2New York State Senate. New York Real Property Tax Law RPT 1136 – Conveyance of Title That language is strong but not universal. Utility and public right-of-way easements typically survive, and federal tax liens can survive too if the IRS wasn’t properly notified. Pull the records at the Montgomery County Clerk’s Office and look for anything that might still attach after the sale.
Federal Tax Liens
Federal tax liens deserve extra attention. Under 26 U.S.C. Section 7425, the county must notify the IRS at least 25 days before the sale for the foreclosure to discharge a federal tax lien. If notice wasn’t given, the lien stays on the property and becomes your problem.3Office of the Law Revision Counsel. 26 USC 7425 – Discharge of Liens
Even when the IRS is properly notified, the federal government keeps a right of redemption. Under 28 U.S.C. Section 2410, the IRS has 120 days from the sale (or the state-law redemption period, whichever is longer) to buy the property back by reimbursing what you paid plus certain costs.4Office of the Law Revision Counsel. 28 USC 2410 – Actions Affecting Property on Which United States Has Lien The IRS rarely uses this right, but it happens when the sale price is well below market and the outstanding tax debt is large. If a federal tax lien shows up in the records, factor the uncertainty into your bid.
Inspection and Occupancy
The county does not have keys and cannot let you inside any building. Drive by, look at the exterior, check zoning for whatever you plan to do with the property, and watch for signs someone is living there. If a parcel is occupied, the county will not evict for you. You’d have to bring a summary proceeding in local court after closing, which costs money and takes time. Price that risk into any bid on an apparently occupied property.
How the Auction Runs
Recent Montgomery County sales have used an online format with bidding windows that can span several days. Each parcel opens with a starting bid, often tied to the taxes owed, and bid increments typically run from $100 to $1,000 depending on the current price level. The platform displays the current high bid and the clock. When time expires on a parcel, the highest bidder wins.
An extended online window can feel unhurried. Don’t let that pull you off your numbers. Set a maximum for each parcel before bidding opens and hold to it. There is no cooling-off period once you’re declared the winner.
What You’ll Pay Beyond Your Bid
Winning bidders owe money immediately. Terms vary by auction, but expect a deposit on auction day, usually a percentage of the winning bid or a fixed minimum, whichever is greater, plus a buyer’s premium added on top of the bid. The buyer’s premium is not optional, and the Terms of Sale spell out the exact number. The remaining balance is typically due within 30 days. Miss that deadline and you forfeit the deposit and any claim to the property. Payment usually has to be cash or certified bank check.
Recording Fees and Transfer Tax
You also cover the cost of getting the deed on record. The Montgomery County Clerk charges $45 to record a deed plus $5 per page, with a small surcharge for extra names on the document.5Montgomery County, NY. County Clerk Schedule of Fees For a typical deed, recording runs roughly $55 to $75.
New York State charges a real estate transfer tax of $2 for every $500 of sale price, or $4 per $1,000.6New York State Department of Taxation and Finance. Real Estate Transfer Tax On a $15,000 auction purchase, that’s $60. The Terms of Sale will state whether the buyer or the county pays, but at tax sales it’s usually the buyer. Add these numbers to your budget so the total doesn’t surprise you.
What the Deed Actually Gives You
The RPTL says the deed conveys fee simple absolute and extinguishes prior claims.2New York State Senate. New York Real Property Tax Law RPT 1136 – Conveyance of Title In practice, the county is conveying whatever interest it acquired through the foreclosure judgment, and the deed generally comes without the warranty of clear title that a private-sale deed carries. If a defect in the foreclosure process surfaces later, your recourse is limited.
That gap is why title insurance is worth its cost on tax-sale purchases. A title search and policy can protect you against an undisclosed lien, a defective foreclosure notice, or a competing ownership claim discovered after closing. Many title companies are cautious about insuring tax-sale properties, so start that conversation early. It can take weeks or months for the Montgomery County Board of Supervisors to approve the sale and for the deed to be recorded. Once it’s on record, you’re the legal owner and responsible for all future property taxes.
A Note for Former Owners
If you’re reading this because you lost property in a Montgomery County tax sale rather than because you’re planning to buy, you may be owed money. After the U.S. Supreme Court’s 2023 decision in Tyler v. Hennepin County, New York added Title 6 to RPTL Article 11, and RPTL Section 1197 now lets former owners and lienholders file a court claim for any surplus between the sale price and what was owed.7Supreme Court of the United States. Tyler v. Hennepin County, Minnesota (2023)8New York State Senate. New York Real Property Tax Law 1197 – Claims for Surplus For residential properties, the case stays open at least three years after the sale report is confirmed. Contact an attorney or the Treasurer’s Office about filing.