Vermont Tax Deed & Tax Lien Sales 2026

How tax sales work in Vermont

Vermont tax sales are conducted at the municipal level by the town or city collector of delinquent taxes. When a taxpayer is delinquent, the collector may advertise and sell the property at public auction to recover the taxes, interest, penalties and costs. The purchaser pays the bid and receives a collector’s deed, but the former owner keeps a right to redeem for one year. Ownership only becomes absolute after that year passes without redemption.

The statute directs the collector to sell only so much of the property as is necessary to pay the debt, so in principle a bidder could receive a portion of a parcel. In practice most towns sell the entire parcel to the highest bidder, with the surplus above the debt held for the owner. Confirm how the town runs its sale before bidding.

Redemption and interest

The owner, a mortgagee or any interested party can redeem within one year of the sale by paying the collector the amount the purchaser paid plus interest at 1 percent per month and the costs of the sale. Redemption goes through the collector, who then pays the purchaser. This yields 12 percent per year on the purchase price, which is the return for investors whose purchases are redeemed.

If the year passes with no redemption, the collector’s deed is recorded and the purchaser owns the property. Vermont, like other states, adjusted its process after Tyler v. Hennepin County to protect the former owner’s equity, so verify current requirements with the town or an attorney.

When and where sales happen

There is no statewide schedule. Towns hold sales when delinquencies warrant, often in summer or fall, and notice is published in a local newspaper and posted in the town for several weeks. Sales take place at the town office or on the property, in person, with payment typically due immediately or within a few days.

What to check before you bid

Confirm the collector followed the statutory notice steps, since a defective sale can be set aside. Check for mortgages and whether the lender was notified, as lenders often redeem. Verify whether the parcel is an occupied home, a camp or vacant land, and whether it has road access and septic capacity under state wastewater rules. Check for state land use permit conditions.

How AuctionScouts helps here

AuctionScouts monitors town tax sale notices across Vermont, scores each parcel from 0 to 100 and flags surviving liens and buildability limits. The calendar tracks each sale date and the one-year redemption deadline for every property you purchase.