Not legal, tax, or investment advice. Data comes from public sources and may be incomplete or out of date; confirm with the county before bidding.

Maine

ME

The investor buys a lien on the property. The owner keeps title and can redeem by paying the lien plus interest or penalty.

Sale type

Tax lien

Redemption

18 mo

Interest / penalty

Flat rate

Sale timing

Varies

Rules in plain English

Sale type

Tax lien

The investor buys a lien on the property. The owner keeps title and can redeem by paying the lien plus interest or penalty.

36 M.R.S. § 943

“The filing of the tax lien certificate in the registry of deeds shall create a tax lien mortgage on said real estate to the municipality in which the real estate is situated”
official source ↗

Redemption period

18 mo

18 months from the date the deed is recorded

36 M.R.S. § 943

“shall not be paid within 18 months after the date of the filing of the tax lien certificate in the registry of deeds”
official source ↗

Interest / penalty

Flat rate

Flat rate, amount not documented.

36 M.R.S. § 505(4)

“the maximum rate of interest must be established by the Treasurer of State and may not exceed the prime rate as published in the Wall Street Journal on the first business day of the calendar year”
official source ↗

Bid method

Not documented

Not documented

36 M.R.S. § 943

“shall give to said municipality all the rights usually incident to a mortgagee, except that the municipality shall not have any right of possession of said real estate until the right of redemption shall have expired.”
official source ↗

Sale schedule

Varies

Sale timing varies by county.

36 M.R.S. § 942

“The tax collector may, after the expiration of 8 months and within one year after the date of original commitment of a tax”
official source ↗

Redemption detail

Base period
18 months
Starts from
the date the deed is recorded
Notice days
Not documented
Exceptions
Not documented

Bidder process

  1. 01Maine does not auction tax liens to bidders: after giving the taxpayer 30 days' notice, the tax collector records a tax lien certificate in the registry of deeds (36 M.R.S. 942)
  2. 02The recorded tax lien certificate creates a tax lien mortgage in favor of the municipality; the owner has 18 months from recording to redeem (36 M.R.S. 943)
  3. 03If the tax lien mortgage is not paid within 18 months, it is deemed foreclosed and the municipality owns the property (36 M.R.S. 943)
  4. 04A bidder therefore buys only after foreclosure, when the municipality decides to sell the tax-acquired property to someone other than the former owner (36 M.R.S. 943-C)
  5. 05When selling, the municipal officers must list the property at the highest reasonable price with a licensed real estate broker or agent who holds no municipal office and is not employed by the municipality (36 M.R.S. 943-C(3)(A))
  6. 06The property is conveyed by quitclaim deed to the successful buyer at the highest price achievable within 12 months after listing (36 M.R.S. 943-C(3)(B))
  7. 07The municipality pays the former owner any sale proceeds exceeding taxes, post-foreclosure taxes, interest, fees, expenses, lien and foreclosure costs, and unpaid utility charges (36 M.R.S. 943-C(3)(C))
  8. 08If after 3 attempts no broker can be retained or the property does not sell within 12 months, the municipal officers may sell in any manner authorized by the municipality's legislative body, still paying excess proceeds to the former owner (36 M.R.S. 943-C(4-A))
Registration
Not documented
Registration mode
Not documented
Registration deadline
Not documented
Registration fee
Not documented
Deposit required
Not documented
Deposit amount
Not documented
Deposit percent
Not documented
Deposit refundable
Not documented
Sale format
Not documented
Payment deadline
Not documented
Payment methods
unknown
Residency required
Not documented

36 M.R.S. 942

“After the expiration of the 30 days and within 10 days thereafter, the tax collector shall record in the registry of deeds of the county or registry district where the real estate is situated a tax lien certificate signed by the tax collector or bearing the tax collector's facsimile signature, setting forth the amount of the tax, a description of the real estate on which the tax is assessed and an allegation that a lien is claimed on the real estate to secure the payment of the tax, that a demand for payment of the tax has been made in accordance with this section, and that the tax remains unpaid.”
official source ↗

36 M.R.S. 943

“If the tax lien mortgage, together with interest and costs, shall not be paid within 18 months after the date of the filing of the tax lien certificate in the registry of deeds, the said tax lien mortgage shall be deemed to have been foreclosed and the right of redemption to have expired.”
official source ↗

36 M.R.S. 943-C(3)(A)

“List the property for sale at the highest reasonable price at which the property is anticipated to sell with a real estate broker or agent licensed under Title 32, chapter 114 who does not hold an elected or appointed office in the municipality and is not employed by the municipality;”
official source ↗

36 M.R.S. 943-C(3)(B)

“Convey the property via quitclaim deed to the successful buyer at the highest price at which the property is able to sell within 12 months after listing;”
official source ↗

36 M.R.S. 943-C(4-A)

“If, after 3 attempts, a municipality is unable to contract with a real estate broker or agent for the sale of the property as described in subsection 3 or the broker or agent is unable to sell the property within 12 months after listing, the municipal officers may sell the property in any manner authorized by the municipality's legislative body, as long as the municipality pays the former owner any excess sale proceeds as calculated in subsection 3, paragraph C.”
official source ↗

Notes

Filing of a tax lien certificate creates a tax lien mortgage in the municipality with priority over other liens; if unpaid after 18 months the mortgage is deemed foreclosed and the municipality owns the property (36 M.R.S. s.943). Rate cap per s.505. Official Maine Revised Statutes. | Prose: tax lien mortgage (municipal foreclosure) | set by municipal vote; capped by Treasurer of State (prime + 3 points) | 18 months | n/a - municipal tax lien mortgage held by the municipality; no competitive investor auction | varies by municipality