Ontario Tax Sale Property Forum
Sheriff Sales / Foreclosures => General Discussion => Topic started by: Dave2 on November 09, 2011, 04:26:52 PM
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There has been a few postings in the last year by OTS / Tri Target to expand their traditional offering by including sale of surplus Municipal or Government Properties. I thought I would make a couple of observations about them in general.
The quality can vary widely possibly even more so then traditional tax sales. On the good side
they maybe originally acquired for municipal purposes and for one reason or another no longer be required for that purpose. Thus they maybe good quality and quite usable.
An example is a surplus school building or site. They could be quite fine but the one thing I would check carefully is historical use and separately zoning and if it can be changed.
On the bad side is what I will call the dregs of the tax sales process or more correctly the leftovers of a failed tax sale or a watch it municipal site. By way of background if there is a failed tax sale the municipality has the right to acquire a failed tax sale property (i.e a property that failed to sell at a tax sale). (the technical term is "Vest") for up to two years after the initial tax sale.
For the failed tax sales obviously if people did not want it the first time round there must be a likely valid reason; What concerns me is we have an already picked over carcass; so the likely hood of poor quality properties maybe increased.
One particular concern is the risk of environmental contamination or in one case that I am aware of the municipality have used the tax sale/surplus property disposal to try and get rid of their former dump sites. >:( (Note neither of the two firms had anything to do with this case)
Another example is a former electric utility site; PCB's contamination anyone???
Bottom line is that just because they call it by a different name make certain you do your homework or even increase it. Like the old comment about lipstick on a pig.
I would be interested what experiences members have had in this process as I have wondered if I am overlooking something.