Click to download Stephen Morel’s full white paper on the Louisiana Tax Sale Process
Introduction
Stephen Morel, CEO of JurisDeed, provides a full accounting of the past, present, and future of tax sales in Louisiana in this white paper. Since this white paper was written in 2020, however, several legal updates were implemented in 2021, and more coming in 2022 and beyond, which Morel captures in this interview. You can also learn more about Morel’s company JurisDeed and their innovative, tech-based legal and title due diligence tools for real estate investors in another interview we had with Morel coming soon, or by going to the JurisDeed website.
Interview Summary
Louisiana is a tax lien state, which employs a tax sale system that utilizes a hybrid of processes used in other states, and although its current system is working quite well according to Morel, Louisiana is nevertheless continually working to make additional improvements. In this summary, we share a couple of key highlights to recent law changes and possibly more to come in future years. For more comprehensive overview of Louisiana’s entire present-day delinquent tax sale process, and its colorful history, we recommend checking out our previous full interview with Morel.
Here are a few highlights of the updates Morel covers in this interview:
- Major changes were made to Louisiana’s tax sale system occurred in 2009, but Morel states that it was just a start and explains what that means for the tax sale investor.
- A high priority goal for Louisiana’s legislative advisory committee on tax sales of which Morel is a member, is to change the archaic system of the bid down ownership system at the tax lien auction to a bid up premium system. Morel addresses what’s likely going to happen with this and potentially when….
- Another part of the legislative proposal includes streamlining the process of the unredeemed lien holder after the redemption period to convert its lien to a deed through a single judicial quiet title procedure, which would replace the current laws that allow for three different options, institute more cost recovery opportunities for the lien holders, and other improvements that balance the overall process between interest of the investors, property stakeholders and the local governing authority.
- Morel’s committee working on these legislative changes also wants to eliminate confusion among tax payers and investors, and inconsistent practices among the many taxing authorities throughout the State, as well as tax payer-investor resolutions, challenges and rights of all parties after the expiration of the redemption period.
Conclusion
These legislative changes to Louisiana’s tax sale system are still being carefully evaluated, and Stephen Morel remains at the forefront of that effort. We will undoubtedly have Morel back here again for a future episode to keep us apprised of the many ongoing evolutions in Louisiana. Once again, for a full and historical overview of the Louisiana Tax Sale Process, check out Stephen Morel’s white paper, and our previous interview with him.
