A Truro tax sale is one of two very different transactions conducted under Massachusetts General Laws Chapter 60: either the town auctions off a tax title, meaning the lien position it holds against a delinquent property, or the town auctions the property itself after already foreclosing the former owner’s rights in Land Court. In the first, you buy a legal claim you still have to perfect. In the second, you buy the land. Confirming which type is on offer before you raise a paddle is the single most consequential thing you can do as a bidder.
The Two Kinds of Sale, and Why the Difference Matters
Tax Title Assignment Under Section 52
Under Section 52, the town treasurer auctions the tax title to the highest bidder. Ownership does not change hands. What transfers is the town’s position as lienholder, and the winning bidder steps into the town’s shoes with the right to eventually petition Land Court to cut off the former owner’s redemption rights. The minimum bid must cover the full redemption amount: all taxes, interest, and costs owed on the property.1Mass.gov. Massachusetts General Laws c.60 Section 52
Notice of the assignment sale must be published at least 14 days beforehand and posted in two or more public places, and the taxpayer must receive mailed notice at least 10 days before the sale date.1Mass.gov. Massachusetts General Laws c.60 Section 52
Post-Foreclosure Auction Under Section 79
If the town has already foreclosed the right of redemption in Land Court, it owns the property outright and can sell it at public auction. This is what most people picture when they hear “tax sale.” You bid on the property, and once the deed is recorded the title is absolute.2Mass.gov. Massachusetts General Laws c.60 Section 79
The treasurer must advertise the sale at least 14 days beforehand in a newspaper published in town, or in Barnstable County if none exists locally, and post notice in a convenient public place.2Mass.gov. Massachusetts General Laws c.60 Section 79 The former record owner also receives notice under Section 77B by registered mail at least 14 days before the sale, including a property description, the date and time, and the terms.3Mass.gov. Massachusetts General Laws c.60 Section 77B
Finding Properties Scheduled for Sale
Published notices, whether in the local newspaper or posted at Town Hall, are the primary way buyers learn about upcoming sales. Each notice typically lists parcels by map and lot number from the assessor’s records, along with date, time, location, and terms. The Tax Collector’s or Treasurer’s office can also share the full list of tax title properties and identify which parcels are moving toward auction.
What Bidders Must Bring
The Section 77B Perjury Statement
For a post-foreclosure sale, the town cannot execute a deed to any buyer who has not submitted a signed statement under penalty of perjury. The statement certifies two things: that neither the buyer nor anyone who would acquire an ownership interest through the purchase has been convicted of arson or filing a fraudulent fire insurance claim, and that the buyer is not delinquent on real estate taxes owed to the town. If back taxes exist, the statement must disclose that a good-faith abatement application is pending.3Mass.gov. Massachusetts General Laws c.60 Section 77B
The deed itself must recite that the town received this certification, and every grantee named in the deed must file a separate statement. Without it, the deed is invalid.3Mass.gov. Massachusetts General Laws c.60 Section 77B
Certified Funds
Bring a certified check or bank draft. Personal checks are not accepted. The required deposit amount appears in the published sale notice and varies by property. The winning bidder generally has 30 days to pay the balance in certified funds; missing that deadline forfeits the deposit, and the town can offer the property to the next highest bidder.
How the Auction Runs
The auctioneer opens each parcel at a minimum bid reflecting outstanding tax debt plus accrued interest, legal costs, and fees the town has incurred. Bidding proceeds through verbal offers or raised paddles until no further bids come in.
The treasurer has discretion to reject any bid deemed inadequate. The town is not obliged to sell if no offer approximates fair value, and the treasurer can adjourn and reschedule as often as necessary.2Mass.gov. Massachusetts General Laws c.60 Section 79 This is one reason tax auctions do not always produce the bargains people expect.
After You Win: Recording the Deed
For a Section 79 post-foreclosure sale, the treasurer delivers a deed with no warranties beyond confirmation that the sale followed legal requirements. The buyer authorizes recording and pays the recording costs. The treasurer has 15 days after execution to record the deed at the Barnstable County Registry of Deeds, and title becomes absolute upon recording.2Mass.gov. Massachusetts General Laws c.60 Section 79
For a Section 52 assignment, the instrument of assignment must be recorded within 60 days. Once recorded, it serves as presumptive evidence of the facts needed to establish the assignment’s validity.1Mass.gov. Massachusetts General Laws c.60 Section 52
Redemption: Your Exposure If You Bought an Assignment
If you won a Section 79 post-foreclosure sale, redemption rights were already extinguished by Land Court. Your title is absolute and this section does not apply to you.
If you won a Section 52 assignment, the former owner can still reclaim the property by paying the full redemption amount: all back taxes, any taxes certified since the taking, interest at 8% per year, and all legal costs added to the tax title account.4General Court of Massachusetts. Massachusetts General Laws Chapter 60 Section 62 The 8% interest runs from the date of the original sale on the initial tax amount, and from each certification date on later taxes added to the account.
This redemption right lasts until a foreclosure petition is filed in Land Court. There is no fixed one-year cutoff, and the treasurer can extend the window by up to two additional years if the owner makes partial payments.5Mass.gov. Massachusetts General Laws c.60 Section 62 Until you foreclose, the former owner has a legal right to pay up and take the property back, and your money sits in limbo.
Foreclosing Redemption in Land Court
An assignment buyer must petition the Massachusetts Land Court to permanently foreclose the former owner’s redemption rights. The court’s judgment extinguishes those rights and vests full ownership in the petitioner.6Massachusetts Court System. Frequently Asked Questions About Tax Lien Foreclosure Cases in the Land Court
You cannot file until at least 12 months after the original taking or sale. Earlier filing is allowed only if the buildings have been declared abandoned, the redemption amount exceeds the property’s assessed value, or the record owner consents in writing.7General Court of Massachusetts. Massachusetts General Laws Chapter 60 Section 65
The filing fee for a tax lien foreclosure petition is $200.8General Court of Massachusetts. Massachusetts General Laws Chapter 262 Section 39 Attorney fees and litigation costs add substantially. The former owner receives notice and an opportunity to pay before the court enters final judgment, and contested cases can stretch out for months. Budget for a lawyer; this is not a DIY proceeding.
The Title Insurance Problem
Title insurance underwriters are extremely reluctant to insure property acquired through a tax sale. Many will not issue a policy unless 20 years have passed since the tax deed, or the buyer obtains a final court order quieting title with personal service on the former owner, every mortgagee, and every lienholder of record.
Even a Land Court foreclosure judgment may not satisfy every insurer. Some require ratification from the former owner or additional proof that due process notice requirements were met. Without title insurance, selling later or obtaining a mortgage against the property becomes nearly impossible, which can trap the investment for years. Plan for a thorough title examination before bidding and factor in the cost of a separate quiet title action if one is needed. Those legal fees can run several thousand dollars beyond the auction price.
Environmental Liability at the Cape
A tax sale deed conveys whatever interest the town holds and nothing more. It carries no warranties about condition, title history, or environmental status. Under the federal Superfund law (CERCLA), the current owner of contaminated property can face cleanup liability. Municipalities that acquire property through tax delinquency have a specific exemption from that liability, but the exemption does not extend to private buyers at auction.9US EPA. State and Local Government Activities and Liability Protections
Buyers can potentially qualify for the “bona fide prospective purchaser” defense under CERCLA Section 107(r), which protects against Superfund owner liability if the buyer conducted appropriate environmental due diligence before acquiring the property and meets certain ongoing obligations.9US EPA. State and Local Government Activities and Liability Protections Cape Cod parcels may carry particular concerns tied to septic systems, wetlands, and coastal regulations. An environmental site assessment before bidding is worth the cost, especially given that tax sale properties typically cannot be inspected before auction day.