A
- analytics Assessed Value
- The value of a property as determined by a provincial assessment authority (like MPAC in Ontario) for property tax calculation purposes. Assessed value is often lower than market value and is used to calculate your annual property taxes.
- gavel Auction
- A public sale method where bidders compete openly for a property. The auctioneer starts at a minimum bid and participants raise their bids until one bidder remains. Common in Alberta, Saskatchewan, and Manitoba.
B
- payments Bid Deposit
- A deposit required to accompany a bid, typically 10-20% of the bid amount. Usually submitted as a certified cheque, bank draft, or money order. The deposit is returned to unsuccessful bidders and applied to the purchase price for winners.
- account_balance Bank Draft
- A guaranteed payment method issued by a bank. Similar to a certified cheque, it's drawn on the bank's funds rather than a personal account. Required for most tax sale deposits and payments.
C
- cancel Cancellation Price
- The minimum amount that must be paid to prevent a property from being sold at tax sale. It includes all outstanding taxes, interest, penalties, and administrative costs. Your bid must meet or exceed this amount.
- description Certificate of Sale
- A document issued to the successful purchaser at a tax sale, documenting the sale before the final tax deed is issued. This certificate becomes a deed after any redemption period expires.
- verified Certified Cheque
- A personal cheque that has been guaranteed by the bank. The bank verifies funds are available and puts a hold on that amount. Required for most tax sale deposits and final payments.
- account_balance Crown Lien
- A lien placed by a federal or provincial government, typically for unpaid income taxes (CRA), HST/GST, or other government debts. Unlike most liens, Crown liens may survive a tax sale. Always check for these before bidding.
D
- article Deed
- A legal document that transfers ownership of real property from one party to another. In tax sales, this is often called a 'tax deed' and is issued after the sale is complete and any redemption period has expired.
- search Due Diligence
- The process of thoroughly investigating a property before purchasing. For tax sales, this includes title searches, checking for liens, reviewing zoning regulations, physical inspection (from public areas), and market research.
E
- link Encumbrance
- Any claim, lien, charge, or liability attached to a property that may affect its value or transferability. Includes mortgages, liens, easements, and restrictions. Most encumbrances are cleared by tax sales, but some (like Crown liens) may survive.
- route Easement
- A right to use or access another person's property for a specific purpose (e.g., utility access, driveway access). Easements typically survive tax sales and must be respected by new owners.
- eco Environmental Liability
- Legal responsibility for contamination or environmental damage on a property. As the new owner, you may become responsible for cleanup costs. This is a major risk for former industrial sites, gas stations, or dry cleaners.
F
- home Foreclosure
- The legal process by which a lender takes possession of a property when the borrower defaults on their mortgage. Different from tax sales, which are conducted by municipalities for unpaid property taxes rather than by lenders for mortgage defaults.
L
- article Legal Description
- The official description of a property's boundaries and location as recorded in land registry documents. Unlike a street address, a legal description precisely defines a parcel using lot numbers, plan numbers, and survey references.
- link Lien
- A legal claim against a property that must be satisfied before clear title can be transferred. Liens can be from mortgages, unpaid contractors, court judgments, or government debts. Most liens are cleared by tax sales, but Crown liens may survive.
- landscape Lot Size
- The total area of a parcel of land, typically measured in acres, square feet, or hectares. Important for assessing the value and potential use of a tax sale property.
M
- payments Minimum Bid / Minimum Tender Amount
- The lowest acceptable bid for a tax sale property. Usually equals the total outstanding taxes, interest, penalties, and administrative costs. Also called the 'reserve price' or 'cancellation price'. Bids below this amount are rejected.
- location_city Municipality
- A local government body (city, town, township, county, regional municipality, or district) with the authority to collect property taxes and conduct tax sales for properties within its jurisdiction.
- gavel Municipal Act
- Provincial legislation that governs municipalities and their powers, including the authority to conduct tax sales. In Ontario, Part XI of the Municipal Act, 2001 specifically covers the tax sale process.
P
- tag PID (Property Identifier)
- A unique number assigned to each parcel of land in the land registry system. Used to identify and track property ownership and transactions. Also known as 'Parcel Identification Number' in some provinces.
- description Public Tender
- A sale method where sealed bids are submitted by a deadline. All bids are opened together at a scheduled time, and the highest qualified bid wins. The primary method used in Ontario, Nova Scotia, and New Brunswick.
R
- schedule Redemption Period Important
- A period after a tax sale during which the original owner can reclaim the property by paying all outstanding amounts plus costs. The length varies by province (typically 1 year in Ontario). During this period, you own the property but the previous owner can still redeem it.
- payments Reserve Bid / Reserve Price
- The minimum price that must be met for a property to be sold. In tax sales, this equals the total outstanding taxes, interest, and costs. Same as 'minimum tender amount' or 'cancellation price'.
S
- savings Surplus Funds
- When a property sells for more than the amount owed, the excess is called surplus funds. These funds are typically paid into court where the previous owner, lienholders, and other interested parties can apply to claim them.
T
- receipt_long Tax Arrears
- Unpaid property taxes that are past due. The accumulation of tax arrears over an extended period (typically 2-3 years) leads to tax sale proceedings. Arrears accumulate with interest and penalties.
- article Tax Arrears Certificate
- A legal document registered against a property's title when taxes have been in arrears for a certain period. This certificate is the first formal step in the tax sale process and serves as notice that the property may be sold.
- store Tax Sale Core Term
- The sale of a property by a municipality to recover unpaid property taxes. The municipality has the legal authority to sell properties when taxes remain unpaid for an extended period. Properties are sold 'as-is' and most liens are cleared.
- tag Tax Roll Number
- A unique identifier assigned to each property by the municipality for tax purposes. Also called 'Roll Number' or 'Assessment Roll Number'. Used to track taxes and identify properties in municipal records.
- folder Tender Package
- The official documents provided by a municipality for submitting a bid on a tax sale property. Includes the tender form, property details, terms and conditions, and instructions for submitting your bid and deposit.
- history_edu Title Search
- An examination of public land registry records to determine the ownership history, legal description, and any claims, liens, or encumbrances on a property. Essential due diligence before bidding on any tax sale property.
Z
- apartment Zoning
- Municipal regulations that control how land can be used (residential, commercial, industrial, agricultural, etc.). Important to understand zoning before purchasing a tax sale property as it affects what you can do with the property.