Escrow & Title
In Florida, the county tax collector conducts a tax certificate sale when property taxes are delinquent. Certificates are sold to investors who:
AImmediately receive title to the property
BPay the delinquent taxes and earn interest from the delinquent property owner, with the right to apply for a tax deed if unpaid✓ Correct
CReceive a lien but no right to collect interest
DMust wait 10 years before applying for a tax deed
Explanation
Tax certificate buyers pay the delinquent taxes and receive a lien (certificate) on the property. They earn interest (up to 18% in Florida) from the delinquent property owner. The property owner can redeem the certificate by paying all delinquent taxes plus interest. If unredeemed for 2 years, the certificate holder can apply for a tax deed, potentially acquiring the property at auction.
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