Question 1

How does Florida's bid-down auction format work?

Accepted Answer

Florida uses a reverse-auction format where investors bid down the interest rate starting at 18%. The investor willing to accept the lowest rate wins the certificate. Because competition is high in major metro counties, residential certificates are often won at rates well below 5%. The 5% mandatory minimum at redemption (§ 197.472) applies regardless of the winning bid rate — except for certificates bid at exactly 0%.

Question 2

When can I apply for a tax deed in Florida?

Accepted Answer

Once a certificate is two years old from April 1 of the tax year it was issued, you can apply for a tax deed sale if the property owner has not redeemed. You must pay all outstanding taxes that have accrued on the property since your certificate was issued, plus fees. The county then schedules a public auction of the property. You have up to seven years from issuance to act before the certificate expires (§ 197.482).

Question 3

What liens survive a Florida tax deed sale?

Accepted Answer

Most liens — including mortgages, HOA fees, and judgment liens — are extinguished by the tax deed sale. The main exception is federal IRS tax liens, which survive for 120 days. Municipal code enforcement liens may also survive in certain circumstances. After winning a tax deed sale, most new owners need either a quiet title action or a third-party tax title certification before a title company will insure the property.

Question 4

Do I need to do anything after buying a Florida tax lien certificate?

Accepted Answer

During the redemption period, monitor the account for redemption activity. Pay close attention to the 7-year certificate expiration date. If the property is not redeemed after two years, you have the option (not the obligation) to apply for a tax deed sale. If you choose to apply, you'll need to pay all accrued taxes and fees. The county then handles the auction process.

Rule	Detail
Minimum interest at redemption	5% (§ 197.472) — exception: certificates bid at 0% carry no minimum
Interest accrual start	June 1 of the certificate year
Homestead delinquency threshold	Under $250 cannot be auctioned
County-held rate (no bidder)	18%
Certificates transferable	Yes — can be sold to another investor
Subsequent taxes at deed application	Must be paid by the applicant
Deed applicant cost interest	1.5% per month from application through sale
Federal IRS lien survival	Survives for 120 days post-sale

Florida Tax Lien Investing Guide

How Florida Tax Sales Work

Key Florida Rules

Florida Annual Calendar

Florida Counties We Cover

What Liens Survive a Florida Tax Sale?

Typically Extinguished

May Survive

Counties We Cover in Florida