Auctions Explained: Tax Sales vs. Mortgage Foreclosures

What Are Property Auctions? Foreclosures and auctions happen when a property is sold to pay off debts. There are two main types:

1. Tax Sale Auctions (run by the county)

2. Mortgage Foreclosures (run by the lender/trustee)

Let’s break them down — easy to follow.

1. Tax Sale Auctions When it happens: You miss property tax payments.

Who runs it: Your county (not the bank).

Goal: Recover unpaid taxes + fees.

What happens at auction:  

• Property sells to the highest bidder.

• If it sells for more than taxes owed → surplus funds go to you!

Example:

Taxes owed: $5,000

Property sells for: $50,000

→ $45,000 surplus could be yours!

2. Mortgage Foreclosures

When it happens: You miss mortgage payments.

Who runs it: Your lender or trustee.

Goal: Recover the unpaid loan.

What happens at auction:  

• Property sold to pay the bank.

• No surplus unless it sells above the loan + fees.

• Any extra goes to you — but rare.

Example:

Loan owed: $200,000

Property sells for: $190,000

→ You get nothing — bank takes all.

Key Differences (Easy Chart)

	Tax Sale Auction	Mortgage Foreclosure
Triggered by	Unpaid property taxes	Missed mortgage payments
Run by	County	Lender / Trustee
Surplus funds?	YES — common	RARE
Your right to claim	1 year (Florida)	Only if sale > loan + fees
We can help	YES — recover surplus	Limited (deficiency help)

How We Help (No Upfront Cost)At Acevedo Recovery Solutions, we:

• Check if surplus funds are waiting

• File your claim with the county

• Handle all paperwork

• You pay nothing unless we win (20% fee on recovery)

No stress. No risk. Just results.  

Ready to Check? Call (904) 603-2316.