Signs of the Times: Orange County Tax Defaults & Property Auctions

Mortgage default notices in Orange County are up 128% from a year ago, and bank foreclosures in Orange County are up 568% from a year ago (Source: DataQuick, Orange County Register). These numbers are all signs of the times. And here is one more: 48% more first installment property tax dollars were unpaid than were last year. The Orange County Tax Collector made some recent changes to allow for better data analysis, so the comparison may not be apples to apples. However, these numbers are still another indicator that the economy and housing market are not looking good.

The following statement by Jonathan Lansner also highlights the seriousness of the increased property tax defaults:

“Traditionally, it takes five years of unpaid tax bills before a home can be taken by the county for non-payment of taxes and sold to pay the skipped bills.

“Lenders, as a comparison, can seize a house within months of missed mortgage payments if they choose to act quickly. So, a financially strapped property owner could be best served paying the lender first.”
—Jonathan Lansner, “Unpaid property tax up 48% signaling stress on budgets,” Orange County Register, January 12, 2008

So in addition to banks auctioning foreclosed properties, the County of Orange also auctions homes that had defaulted property taxes. Recently, the Orange County Board of Supervisors approved the sale by public auction of 120 county-owned properties. This list of 120 properties was provided as a link in a December newsletter from Supervisor Bill Campbell and has an auction date set at March 19.

However, the Orange County Tax Collector’s office web information has an auction date set at March 27. This website (Real Property Section of Orange County Public Administrator) shows information on the properties to be auctioned at this date, provides a list of the auctions rules, and states that you can get bidding instructions and forms by calling or going to the Real Property Section of the Orange County Public Administrator/Public Guardian (see contact information below).

If you are interested in these auctions, I suggests that you contact the Orange County Real Property Section and clear up any confusion on dates or properties to be auctioned.

Doors are open 30 minutes before auction time.
Keys may be checked out to inspect the properties prior to auction by contacting 714/567-7630.

You can also use the Orange County Tax Collector’s Office, Real Property Section contact information and website to stay aware of any other future Orange County property auctions. With these property tax default numbers, property auctions in Orange County might be very active.

Orange County Property Auction Information
Treasurer-Tax Collector
Real Property Section of Orange County Public Administrator property
What and When: See website or call 714/567-7630
Where: 1300 S. Grand Avenue, Bldg. C, Santa Ana, CA 92705
Mailing address: P. O. Box 11526, Santa Ana, CA 92711)
Open: Weekdays 8 am to 5 pm

Graphic Courtesy The County of Orange