Property tax foreclosure in Utah

The property tax process in Utah, step by step

1. Taxes become delinquent

   After November 30

   Property taxes are due November 30 each year and are delinquent if paid or postmarked after that date. A penalty of 2.5 percent or $10, whichever is greater, is added, but it drops to 1 percent or $10 if you pay everything by January 31.

   Utah Code § 59-2-1331(1), (2)

2. Interest starts to build

   From January 1 after the due date

   If the taxes and penalty are not paid by January 31, interest runs from January 1. The rate is 6 percent plus the federal funds target rate, but never less than 7 percent or more than 10 percent a year, and each delinquent year carries its own interest until paid.

   Utah Code § 59-2-1331(2)(b) to (d), (3)

3. Pay over time to redeem

   Any time before the tax sale

   You can redeem by paying the county treasurer all delinquent taxes, interest, penalties and costs. The treasurer must accept partial payments of at least $10 at a time, so small steady payments shrink what you owe before a sale date is ever set.

   Utah Code § 59-2-1346(2), (4)

4. Ask about deferral or abatement

   Apply by September 1 each year

   Counties can defer taxes for low-income owners on their home, and must defer for qualifying older owners under a separate program, if every mortgage holder agrees in writing. Deferred taxes become a lien that is paid when the home is sold or stops being your main home. Ask your county about these and the abatement for low-income owners.

   Utah Code §§ 59-2a-701, 59-2a-702, 59-2a-901

5. Tax sale listing and notice

   March 15 after four years of delinquency

   If the taxes are still unpaid by March 15 after four years, the treasurer lists the property for the tax sale. The county auditor must mail notice to you and to any occupant by certified and first class mail (or a tracked service) and publish notice before the sale.

   Utah Code §§ 59-2-1343, 59-2-1351(2), (3)

6. The May or June tax sale and the tax deed

   May or June of the sale year

   The auditor auctions the property, in person or online, and no bid below the full debt and costs can be accepted. After the county governing body accepts the bid, the auditor gives the buyer a tax deed. Your right to redeem ends at the sale.

   Utah Code §§ 59-2-1346(1), 59-2-1351, 59-2-1351.1(4), (9)

7. Claim the excess from the sale

   Contact the county right after the sale

   Utah law says any sale money above the taxes, penalties, interest and costs is treated as unclaimed property, which belongs to the owner. Counties hold it for a short time and then send it to the State Treasurer's Unclaimed Property Division, where you can still claim it at mycash.utah.gov.

   Utah Code § 59-2-1351.1(7)

Common questions in Utah