Texas Tax Sale Redemption Payoff Calculator
If the former owner redeems, they repay what you put in — your winning bid, the deed recording fee, and any taxes you paid after the sale — plus a redemption premium of 25% or 50% on that total. Texas is a penalty state, so the premium is flat: it is the same whether they redeem in month one or month five. Enter your numbers below to see the exact payoff.
Typically around $50 — use your actual receipt.
Leave at 0 if you have not paid a tax bill yet.
Most properties have a 6-month redemption period. Homestead, agricultural, and mineral properties have 2 years.
Used only for the annualized figure.
Owner pays you
$12,562.50
Your profit (25% premium)
$2,512.50
Annualized return
60%
How that number is built
- Your winning bid$10,000.00
- Deed recording fee$50.00
- Taxes you paid after the sale$0.00
- Redemption premium (25% of $10,050.00)$2,512.50
- Total the owner pays to redeem$12,562.50
Estimate only. The premium is flat — it does not pro-rate, so it is the same whether the owner redeems in month one or month five. This tool calculates the payoff, not the deadline: confirm your exact redemption date with the county tax office before you count on it.
Where the Texas deals actually are
LienSuite tracks 402,737 tax-delinquent properties across 62 Texas counties. These are the counties with the most delinquent records right now — the pool the next redeemable-deed sale comes out of.
- Dallas County tax-delinquent list85,591 delinquent
- Denton County tax-delinquent list39,820 delinquent
- Collin County tax-delinquent list27,975 delinquent
- Harris County tax-delinquent list27,069 delinquent
- Waller County23,477 delinquent
Counts are aggregated from county tax-office and appraisal-district sources and refreshed as each county roll is re-ingested. Delinquency data is a moving target — treat these as current floors, not frozen totals.
A worked example
You win a commercial parcel for $10,000 and pay a $50 deed recording fee. You have not paid a tax bill yet. Five months later the former owner redeems.
- Your money in: $10,050
- 25% redemption premium on $10,050: $2,512.50
- Total you receive: $12,562.50 — a $2,512.50 profit
- Annualized at five months: roughly 60%
The same parcel with a homestead exemption sits in the 2-year window instead. Redeemed in year two, the premium is 50% — $5,025 on the same $10,050.
Questions investors ask
What is the Texas redemption premium, 25% or 50%?
Texas is a penalty state, not an interest state. The redemption price includes a 25% penalty for a redemption inside the 6-month window, or 25% in year one and 50% in year two for property with a 2-year window.
How long is the redemption period on a Texas tax sale?
Most properties have a 6-month redemption period. Homestead, agricultural, and mineral properties have 2 years. Confirm your exact date with the county tax office before you rely on it — see the redemption period lookup for all 50 states.
Does the penalty shrink if the owner redeems early?
No. A penalty is a flat percentage owed the moment the owner redeems — it does not pro-rate, so a 25% Texas penalty is the same whether they redeem in month 1 or month 5. That is why an early redemption produces a very high annualized return.
What happens if nobody redeems?
You keep the property instead of the premium. Many owners never redeem, which is why the payoff figure is a comparison tool rather than a promise — model both outcomes before you bid.
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