Florida Tax Certificate Auctions to Generate $1.5 Billion for Local Budgets

The National Tax Lien Association (NTLA) is highlighting the upcoming Florida Tax Certificate Auctions, which will take place on or before June 1st, 2025, across all 67 counties in Florida. The auctions are expected to generate approximately $1.5 billion in revenue for local government budgets, which will fund essential services including schools, police, fire services, parks and recreation.

Florida Counties to Auction 400,000 Delinquent Tax Accounts

Florida counties will sell their 400,000 delinquent property tax accounts to private investors via tax certificate auctions. These tax certificates represent unpaid property taxes and are sold to investors who are willing to pay the taxes owed on the property in exchange for the right to earn the interest rate they bid to win the tax certificate. Miami-Dade County will recoup around $270 million, Broward County $140 million and Palm Beach County $110 million.

“The Florida tax certificate process is one of the most efficient, transparent, and equitable solutions for handling delinquent property taxes in the country,” said Brad Westover, Executive Director of the National Tax Lien Association. “It’s a win-win solution. Governments receive the funds they are owed to support essential public services, and taxpayers have the ability to repay their obligations over a period of two to seven years, often with lower penalties due to the competitive bidding process. This is something every state should consider adopting.”

The auctions are predominantly held online today, with an opening bid rate of 18%. However, to offer some relief to delinquent taxpayers, the winning bidder is the one who agrees to accept the lowest bid rate, which is the penalty rate the taxpayer must pay. This competitive bidding process ensures that taxpayers are not overly burdened by excessive penalties.

Florida state law gives taxpayers between two and seven years to repay their tax obligations, offering ample time for individuals to settle their tax payment while benefiting from a lower penalty rate.

NTLA Advocates for Tax Certificate Programs to Support Local Governments & Taxpayers

Currently, 30 U.S. states have implemented a tax certificate solution to manage delinquent property taxes, while the remaining 20 states opt for higher penalty rates, which are less favorable for taxpayers. The NTLA continues to advocate for the expansion of tax lien and certificate programs as a means of helping local governments recover unpaid taxes while providing taxpayers with an opportunity to repay their obligations over time.

The NTLA, the nation’s leading non-profit educator in the tax investing industry, offers resources and educational opportunities for both investors and taxpayers. Investors can learn more about safe tax certificate investing by visiting NTLA University, where a comprehensive course is available to better understand the process.

For further information on the upcoming Florida Tax Certificate Auctions or to inquire about tax lien investing education, please visit www.ntla.org/how-we-work.