Tax Sale Surplus Funds in Bucks County

When property is sold at a tax sale, the winning bid often exceeds the amount owed in delinquent taxes and sale costs. That difference, called surplus funds or overages, belongs to the previous owner. Often that owner never claims it because they do not know it exists.

If you or a family member owned property in Bucks County that went to tax sale, money could be waiting for you right now.

Where the Money Comes From

Here is the mechanics. A property owner falls behind on real estate taxes. After proper notice and opportunity to pay, the property is sold at a tax sale. The winning bid might be $150,000. The delinquent taxes, penalties, interest, and sale costs might total $35,000. The difference ($115,000) is the balance over taxes and costs. From that balance, any recorded mortgages and liens are paid first (72 P.S. § 5860.205(d)(4)), and only what remains after those are satisfied is distributed to the former owner (72 P.S. § 5860.205(d)(5)).

This surplus belongs to the property owner at the time of the sale, not to the winning bidder. The treatment depends on the type of sale. At a judicial sale, the property is sold free and clear and recorded liens are divested (72 P.S. § 5860.612), so a surplus can be distributed to the rightful owner or their estate. At an ordinary upset sale, the buyer takes the property subject to surviving recorded liens, mortgages, and claims that were not included in the upset price (72 P.S. § 5860.609), so a surplus payable to the former owner generally arises only from judicial or sheriff sales.

Bucks County’s Public List

The Bucks County Tax Claim Bureau maintains a publicly available list of undistributed surplus funds on the county website at buckscounty.gov. You can search for your name or a property address. If funds are there, the county has a process to distribute them, but only if you claim them.

Many former owners do not know this list exists. Years pass. The funds accumulate in the county account, unclaimed.

How to Claim Your Funds

The process is straightforward but requires precision:

1. Complete a Distribution Affidavit, available from the Bucks County Tax Claim Bureau.
2. Have it notarized by a notary public.
3. Mail it to: Bucks County Tax Claim Bureau, Administrative Building, 5th Floor, 55 East Court Street, Doylestown, PA 18901.
4. Include a copy of a valid U.S. government-issued photo ID (driver’s license, passport, etc.).

The Tax Claim Bureau will verify your identity, confirm you are the correct claimant, and issue payment. The process typically takes several weeks.

If the Former Owner Is Deceased

If the property owner has passed away, the executor or administrator of the estate completes the affidavit. You will need:

• The completed Distribution Affidavit signed by the estate representative
• Notarization
• A copy of the estate representative’s photo ID
• A short certificate proving your authority to act (from the Register of Wills or Orphans’ Court)

The funds then go to the estate, where they become probate assets.

Working With a Surplus Funds Recovery Service

Some property owners handle the claim themselves. Others hire a recovery service or attorney, which makes sense when the claim involves a deceased owner, title complications, or tight deadlines. If you do hire someone, understand the fee arrangement upfront and confirm the funds will be distributed through the county’s official process.

Time Limits

Under Pennsylvania’s Real Estate Tax Sale Law, if no claim for the balance due the owner is presented within three years of the date of the sale, the balance of the proceeds is distributed to the taxing districts (the county, municipality, and school district) on a pro rata basis. This creates a practical deadline. The longer you wait, the closer you get to losing your claim entirely.

When You Might Need a Lawyer

Most claims are straightforward. But some situations benefit from legal help. If the property had a mortgage at the time of sale, the mortgage holder may have a claim against the surplus. If there were multiple liens, priorities can get complex. Title searches can help clarify the situation. If the prior owner has been deceased for some time, tracking down the executor can be difficult. If you are unsure whether you are the correct claimant or whether the property in question is actually yours, an attorney can clarify the title and make sure the claim is filed correctly.

Check the List Today

If you owned property in Bucks County that you lost to tax sale, whether five years ago or twenty years ago, check the Tax Claim Bureau’s list. Your name may be there, with funds waiting. The claim process is accessible and the payout is direct. There is no reason not to look.

Think you might have surplus funds sitting in Bucks County? We can check and file the claim for you. Ballow & Lynde PLLC, 1200 Veterans Highway, Suite B-3, Bristol, PA 19007, (215) 949-0888, lawyermarc.com.

Need help recovering surplus funds or dealing with a tax sale? Ballow & Lynde represents clients throughout Bucks County in real estate and property tax matters. Schedule a free consultation or call us at 215-949-0888.

Related Practice Areas:

• Real Estate
• Sheriff’s Sales & Tax Sales in Bucks County
• Property Tax Assessment Appeals
• Title Searches & Title Insurance