Property tax foreclosure in Delaware

The property tax process in Delaware, step by step

1. Taxes become delinquent

   After September 1 (New Castle) or September 30 (Kent, Sussex)

   In New Castle County a penalty of 6 percent is added, then 1 percent of the unpaid balance on the first of each month. In Kent and Sussex Counties the penalty is 1.5 percent per month. New Castle County must also send a written demand by December 15 saying legal action will follow if the taxes are not paid.

   9 Del. C. §§ 8604(a), 8610

2. Ask for a payment plan

   As soon as you fall behind

   Each county must offer a payment plan for county and school taxes on your primary residence if your tax bill went up by $300 or more over the year before, and penalties are waived while you keep to the plan. In New Castle County, for the 2025-2026 tax year, a taxpayer who keeps to such a plan cannot be hit with a monition or sheriff's sale. Other counties may offer abatements by ordinance, so ask.

   9 Del. C. §§ 8604(c), (d), 8701(d)

3. Judgment and the monition

   20 days to pay after the monition

   The county files a praecipe in Superior Court, which records a judgment against the property for the unpaid taxes. The sheriff then posts a monition on the property warning that it can be sold unless the judgment is paid within 20 days. The posting counts as notice to you.

   9 Del. C. §§ 8722 to 8724

4. Sheriff's sale

   After the 20 days pass

   If the taxes are still unpaid 20 days after the sheriff's return, the court issues a writ telling the sheriff to sell the property at a public sale. The county finance office can reject the final bid for a public reason, and counties can require bidders to certify they do not own other neglected or tax-delinquent property.

   9 Del. C. §§ 8725, 8726

5. Court approval of the sale

   After the sale

   The sale goes back to the Superior Court, which can look at whether it was done properly and approve it or set it aside. If something went wrong with your notice or the sale, raise it with the court before approval.

   9 Del. C. § 8731

6. Redeem within 60 days

   60 days after the court approves the sale

   You can redeem by paying the buyer the purchase price plus 15 percent and all costs, or by paying the money into court if the buyer will not take it. If you do not redeem, the buyer can ask the court to order the sheriff to sign a deed, and the buyer takes the home free of the liens and mortgages on it.

   9 Del. C. §§ 8727 to 8729

7. Money left over after the sale

   After the sale is approved

   The monition law does not spell out how leftover money is paid. Unclaimed excess from sheriff's sales is held by the Superior Court Prothonotary and listed by county on the court's Project Rightful Owner page, where you can petition for it. For the older Kent and Sussex tax sale method, the law says any money left after the tax and sale costs must be paid to the owner at once.

   9 Del. C. § 8779

Common questions in Delaware