The Local Government Act requires the City to sell properties with three years of unpaid property taxes at public auction.
Properties to be included in the annual tax sale will be listed in the local newspaper twice in the weeks preceding the tax sale. If the delinquent taxes are paid before 10:00 am on the tax sale day, they will be removed from the list of properties.
All individuals who intend to bid on properties in the tax sale must pre-register prior to the start of the tax sale. Registration will begin at 1 hour before the Tax Sale start time outside the doors of the Council Chambers. Photo ID and social insurance number (individuals) or business number (businesses) are required for registration. Registration will close at 10 minutes before the start time.
Note: Physical distancing and maximum gathering requirements will be in place. Attendees should follow the directional signage and sit only in the designated areas.
- Owners retain rights during the one-year redemption period including the right to possess the property, i.e. they have the right to remain living on the property.
- Prospective bidders are advised that it is their responsibility to search the title of the property in advance to determine if there are any charges registered against the property. The City is not responsible for the condition or quality of the properties being offered for sale.
- The lowest amount for which a property may be sold at tax sale is the upset price. The highest bidder above the upset price must be declared the purchaser.
- City Council may designate a bidder on behalf of the municipality. If there is no bid the municipality must be declared the purchaser.
- The purchase of a tax sale property is subject to tax under the Property Transfer Tax Act on the fair market value of the property at the time of the conveyance.
- Successful bidders must secure their bid by making payment to the Property Tax Division by 12:00 pm on the day of the sale. Payment must be made by cash, certified cheque, money order or bank draft.
- Pay your delinquent property taxes, including interest, by mid-September. Interest is charged daily at a rate of 5.70% per year (subject to change).
- Pay your delinquent tax balance by the last business day in August to avoid your property from being listed in the local newspaper. Only payments received before the ad deadline will be removed from the list of properties listed in the newspaper.
- Contact your mortgage holder if you are unable to pay the delinquent tax balance.
- Call our office at 604-864-5522 for the delinquent amount outstanding including daily interest or refer to your Tax Sale Advice Notice.
Payment for delinquent taxes will be accepted in the following forms:
- Cheques that are not certified are accepted until the last business day in August
- Online or telephone banking (allow 3 to 4 business days for payment to reach our account). Do not pay by online or telephone banking after the third Friday in September to allow for bank processing time as funds must reach our account by the last business day before the tax sale.
- Bank draft, certified cheque or money order
- Lawyer’s trust cheque
- Cash or Interac at City Hall
The current owner has one year after the property is sold at Tax Sale to retain ownership of their property. This is called the redemption period. Registered charge holders, as well as the owner, have full right to redeem the property.
To redeem the property, the owner or charge holder must pay the upset price, plus interest on the purchase price at a rate set by the Province and any charges, within one year of the Tax Sale.
The upset price is calculated as the sum of:
- Outstanding current, arrears and delinquent taxes,
- Penalties and interest on tax balances,
- 5% of outstanding taxes, penalties and interest, and
- Fees as per the Land Title Act.
As soon as the property is redeemed, the Collector will refund the Tax Sale purchaser the purchase price, plus interest to the date of redemption.
The Local Government Act, Part 16 Section 665 Effect of tax sale on rights of owner is summarized below for your convenience. (In the event of a discrepancy the Local Government Act will prevail).
- Once a property is sold at the tax sale, the original owner continues to have the right to live on the property.
- Purchaser is registered on title, and has the right to enter the property in order to maintain it in proper condition.
If the property is not redeemed during the one year redemption period, the Collector registers the new owner at the Land Titles Office, cancelling all previous charges, except for those set out in Section 276(1) (c) to (g) of the Land Title Act. Section 276 lists rights and claims which continue to exist after a property is sold at tax sale including, but not limited to easements, restrictive covenants, rights of way, and liens or mortgages of the Crown or Improvement District.
The information provided on this page is intended as a general outline of the tax sale process. For complete information prospective purchasers should consult the governing legislation such as: