Canadian Tax Sale FAQ & Help Center

The right of redemption allows the original property owner to stop the sale by paying all outstanding taxes and costs. In Ontario, this right exists up until the property is sold (tender envelopes opened). Once sold, the sale is final. In other provinces, different rules apply.

Tax sale properties typically transfer with a "Tax Deed" which cleans the title of most encumbrances, such as mortgages and private liens. However, Crown interests (claims by the provincial or federal government) often remain on title. It represents one of the biggest risks, so a professional title search is highly recommended.

If a property sells for more than the cancellation price (taxes + costs), the extra money is called a "surplus". This surplus is paid into the Court. The previous owner or other lien holders (like mortgagees who lost their security) can apply to the Court to claim these funds.