Updated 4/13/2018
Hawaii County is an Equal Opportunity Provider and Employer
IF THE PROPERTY IS REDEEMED, DOES THE INVESTOR EARN INTEREST DURING THE
REDEMPTION PERIOD?
Yes. 12% is the annual interest rate.
DO YOU ALLOW INVESTORS TO INVEST AT THE SALE WITHOUT ATTENDING THE SALE (I.E.
ABSENTEE BIDDING)?
No, we do not allow absentee bidding; however, you may send a representative to bid on your behalf. Persons bidding at the
auction as representatives or agents of others must have a notarized statement naming them and stating that they have full power
and authority to sign all necessary documents on behalf of the new owner. Further, they will need the following information to
complete the necessary documents after a successful bid:
- Full first, middle and last name of the person in whose name the deed will be recorded.
- Full first, middle and last name of the spouse of the person in whose name the deed will be recorded.
- Mailing address and contact phone numbers of the person in whose name the deed will be recorded.
- What method of ownership in which the new owner wishes to hold title.
WILL MY PROPERTY BE FREE AND CLEAR OF ALL LIENS?
The County of Hawai`i, Real Property Tax Division (RPT), makes every effort to provide you with a free and clear title, however,
the County does not guarantee all liens will be cleared. Therefore, you still purchase the property "as is" and may be required to
clear all recorded liens on your own. The County has taken the following steps to help you in this matter:
- The County has ordered title reports and made every effort to put all owners and lien holders on notice of the pending tax
foreclosure sale. Copies of the notices and return receipts of those notices are on file with RPT and you may purchase
copies if necessary.
- The County published notices in the local and statewide newspapers to provide notice to the public of the pending sale.
- The County has adopted Section 19-42, Hawai`i County Code, which states that title in the tax deed shall be free and
clear of all liens.
Despite the above, some lienholders may attempt to enforce their lien against the prior delinquent taxpayer owner on you.
If this is a concern for you, you are advised to seek your own legal counsel prior to bidding.
Properties are sold "as is" and the County will not warrant their title or represent the successful purchaser in any title
disputes.
DOES THE COUNTY WARRANT THE REPRESENTATIONS MADE IN THE FIELD INSPECTION
REPORTS?
The field inspections are done by the RPT division staff and try to provide as accurate a picture as possible about the condition of
the property on the date of the inspection. Once again, the County does not warrant any of the information contained in the field
inspection regarding the condition of the land or any structures. Misrepresentations in the field inspections or title reports will not be
grounds for cancellation of the sale.
WHAT HAPPENS TO THE SURPLUS? CAN IT PAY OFF THE LIENS?
Any money collected above the upset price is considered surplus money. After the sale, the County will notify all lienholders that
they have a right to make claims against the surplus. When the County pays off the lienholders, the County will seek a satisfaction
and release of lien from the lienholder, which the successful purchaser may file with the Bureau of Conveyance or Land Court to
help clear the title. Any additional surplus funds can then be claimed by the previous owner.
HOW DO I GET RID OF THE LIENS?
If the County is unable to provide you with releases, you may contact the lienholders on your own and seek releases from them. In
many instances, the liens are no longer valid or were previously paid and no one bothered to record a release. Once you receive
the release, it should be recorded with the Bureau of Conveyance or Land Court, depending on where your deed is recorded.
WHAT ABOUT FEDERAL TAX LIENS?
Once again, the County sells the property "as is". The federal government has indicated that they will monitor our sales and where
they feel the sale was inadequate; they may seek to foreclose on the property. Should they seek such action, they would reimburse
the purchaser.
DO YOU KEEP A MAILING LIST?
No, we do not keep a mailing list, however, if you provide us with $1.00 and a self addressed, stamped (2 oz. postage) envelope,
we will mail you a tax sale list 4 weeks prior to the next sale.
IS THERE A CHARGE FOR THE LIST OF CURRENT PROPERTIES ON THE TAX SALE?
Yes, the charge is $1.00 per list. The list is also available free on our website or in the newspapers 4 weeks prior to the sale.