A bill that would lower the amount of interest paid on redeemed properties received final passage by the House last Wednesday, March 28.

Under existing law, a party desiring to redeem property sold to the state for unpaid taxes is required to pay the amount for which the property was sold, the amount of all taxes due on the property since the date of sale, plus interest at a rate of 12 percent. SB 257, sponsored by Senator Hank Sanders (D-Selma), would reduce the interest paid on properties purchased at a tax sale from 12 to eight percent.

SB 257 has been sent to the Governor’s office for her signature.

Alabama REALTORS® supported SB 257 because of its benefits for property owners.