Compare — Tax Lien Redemption vs. Sell Before Auction
Short answer: If you can come up with the full balance — back taxes, penalties, interest, court costs — redemption keeps your home. If you can't, selling to Saving KC before the auction preserves your equity. We pay the tax debt at closing. Call Ernest at 816-429-2900.
The redemption math looks simple on the surface. Pay the back taxes plus penalties and keep your house. But when you add up the real numbers — including the taxes you'll owe next year — the picture gets complicated fast.
No obligation. We pay back taxes at closing.
Missouri doesn't sell your house at the tax sale. It sells the lien — the right to collect the back taxes. Here's the process under RSMo Chapter 140:
This is the part that makes tax sales so devastating. An investor pays $8,000 in back taxes and gets a house worth $150,000. You lose $142,000 in equity. It doesn't matter that your home is worth 20x the tax debt. If you don't redeem, it's gone. Call now: 816-429-2900.
Redeeming sounds straightforward: pay the taxes and keep your home. But the total cost is more than just the back taxes.
| Redemption Cost Component | Typical Amount |
|---|---|
| Back taxes (2 years delinquent) | $6,000-$8,000 |
| 10% annual interest on lien | $600-$800/year |
| Collector penalties & fees | $50-$200 |
| Current-year taxes (coming due) | $2,000-$4,000 |
| Title search fees (if applicable) | $200-$500 |
| Total to redeem & stay current | $10,000-$15,000 |
And here's the question nobody asks: can you afford next year's taxes? If you couldn't pay $3,000 last year and $3,000 the year before, what changes after you scrape together $12,000 to redeem?
I've seen this pattern dozens of times. A homeowner borrows money to redeem, breathes a sigh of relief, then falls behind again within 12-18 months. Now they owe another $3,000-$4,000 in new taxes, the home still needs repairs, and they're right back where they started — but with less savings and more stress.
Redemption is the right move when all of these are true:
If even one of those isn't true, you're spending $10,000-$15,000 to postpone the same problem.
Selling before the auction works when:
When you sell to Saving KC, the title company pays off all delinquent taxes, interest, penalties, and fees directly from the sale proceeds. You don't write a check. You don't come up with cash. The taxes get cleared, and you walk away with whatever equity remains — cash in hand.
You own a home in Independence worth $180,000. You're 2 years behind on taxes. The lien sold at auction 6 months ago.
| Item | Cost |
|---|---|
| Back taxes (2 years) | $6,400 |
| 10% interest (6 months) | $320 |
| Collector fees | $150 |
| Current-year taxes (coming due) | $3,200 |
| Total out of pocket | $10,070 |
Result: You keep the house. You're $10,070 lighter. Next year's $3,200 tax bill starts the clock again.
| Item | Amount |
|---|---|
| Cash offer (80% of value) | $144,000 |
| Back taxes + interest + fees (paid at closing) | -$6,870 |
| Agent commissions | $0 |
| Closing costs | $0 |
| Cash you walk away with | $137,130 |
Result: $137,130 in cash. No more tax bills. No more risk. Fresh start.
Redemption costs you $10,070 and puts you back in the same position. Selling nets you $137,130 in cash and eliminates the problem permanently. The choice depends on whether you want to — and can — stay. Call Ernest: 816-429-2900.
If your property is in Johnson County or Wyandotte County, the rules are harsher. Kansas uses judicial tax foreclosure — not tax lien sales. There's no redemption period after the sheriff's sale. Your rights end the day before the sale.
That means selling before the sale isn't just the smart move. It's the only move once that sheriff's deed records.
If you own a home with back taxes in Johnson County or Wyandotte County, you have ZERO redemption time after the sheriff's sale. Read the Johnson County redemption guide or call immediately: 816-429-2900.
Side-by-side on a $180,000 home with $6,400 in back taxes (2 years delinquent).
| Sell to Saving KCCash — 14 days | Redeem the Tax LienPay & stay | |
|---|---|---|
| Out-of-Pocket | $0 | $10,070 |
| Cash You Receive | $137,130 | $0 (you keep the house) |
| Back Taxes | Paid at closing | You pay in full |
| Future Taxes | Not your problem | $3,200/year — still due |
| Timeline | 14 days | Immediate (if you have cash) |
| Risk | Zero — done permanently | Could fall behind again |
| Home Repairs | Not your problem | Still need to maintain |
Under RSMo Chapter 140, you have 1 year after the tax lien sale to redeem. You must pay the full amount — back taxes, 10% annual interest, and collector fees. In Jackson County, additional fees apply. After the year expires, the lien holder can petition for a collector's deed and take your home.
The total includes back taxes (often 1-3 years), 10% annual interest, collector penalties and fees ($50-$200), and any current-year taxes coming due. On a $3,200 annual tax bill with 2 years delinquent, you're looking at $10,000-$15,000 to get fully current.
Yes. You can sell your home with delinquent taxes. The back taxes get paid from the sale proceeds at closing. We handle the title work and the taxes come out of the deal — no out-of-pocket cost to you. We can close in 14 days, well before any auction date.
Jackson County holds annual tax lien auctions, usually in August. Investors bid on liens — not the property. The winning bidder pays your back taxes and earns 10% interest. If you don't redeem within one year, they petition for a collector's deed to take ownership. You lose the property and all equity.
Redeem if you have the cash and can keep up with future taxes. But if you're struggling to pay current taxes, redemption just resets the clock. Selling before auction lets you pay off all taxes, keep your remaining equity, and start fresh without the annual tax burden.
Missouri charges 10% annual interest on delinquent tax lien amounts. On a $10,000 lien, that's $1,000 per year in interest — on top of the original debt and fees. The interest accrues from the date of the tax sale and must be paid in full to redeem.
Missouri sells tax liens with a 1-year redemption period. Kansas uses judicial tax foreclosure with zero redemption after the sheriff's sale. If your property is in Johnson County or Wyandotte County, there is no second chance once the sale happens.
"I was 3 years behind on taxes and the auction was coming. Ernest closed in 12 days, paid off everything, and I walked away with real money in my pocket."
"My sister and I inherited a house with $12,000 in back taxes. We couldn't afford to redeem. Ernest paid the taxes at closing and we split the equity. Fair and fast."
"I redeemed once and fell behind again within a year. Should've sold the first time. When I called Ernest the second time, he had me closed in two weeks."
More help for homeowners dealing with back taxes in KC.
We pay the taxes at closing. You keep the equity.
We pay all back taxes at closing. You walk away with cash and a clean slate. No obligation to accept any offer.