tax deed
Michigan tax deed guide
Michigan’s forfeiture and foreclosure process transfers eligible delinquent property to the foreclosing governmental unit, which can then auction it. A bidder purchases foreclosed real estate.
Source review applies to the named instrument and scope in the worked example below. It does not cover every county procedure or transaction in Michigan.
When does the clock start?
The state describes delinquency in the first year, forfeiture the next March, and foreclosure in the third year.
How and when is a return earned?
No statutory investor interest accrues daily, monthly or annually on this completed deed purchase.
What amount earns a return?
The purchase price is a real-estate acquisition cost, not an interest-bearing certificate balance or guaranteed redemption principal.
What happens at redemption?
Ordinary redemption expires March 31 in the foreclosure year; a contested case can have a different judgment-based deadline.
When does earning end?
Auction inventory follows foreclosure and expiration of the applicable rights.
Does property use change the rules?
Classification sources checked 2026-09-15. Review applies to the procedures described below; calculator support is stated separately.
Owner occupancy and a Principal Residence Exemption can matter before foreclosure. Wayne County’s published payment-plan guidance distinguishes owner-occupant hardship relief and an interest-reduction plan from other collection arrangements.
A residential assessment alone is not proof of residence or an approved agreement. Check current program authority, enrollment dates and continuing compliance with the county; these are local collection protections, not a post-auction investor yield.
What to verify before bidding
Obtain the recorded deed, Principal Residence Exemption record, occupancy evidence, signed county agreement, current program eligibility and foreclosure judgment.
What this calculator covers
The completed foreclosed-property purchase example does not compute homeowner payment-plan interest or decide whether foreclosure relief applies.
Try the rules
What this deed purchase earns
Michigan — completed foreclosed-property auction purchase. A private bidder buys foreclosed real estate from the foreclosing governmental unit after the applicable redemption period. Excludes unresolved or contested judgments, rescission, defective notice, surviving interests and federal rights.
The purchase price is a real-estate acquisition cost, not an interest-bearing certificate balance or guaranteed redemption principal.
The prefilled amounts and any collector conventions below are illustrative assumptions. Confirm those facts for an actual holding.
Holding the property
No statutory interest over time.
The flat line shows no statutory investor interest. Your purchase price is not a repayable lien balance; property value and resale proceeds are separate.
Statutory investor interest is not applicable to this completed property purchase. There is no guaranteed repayment of the purchase price or interest.
View values at each change
| Date | Statutory interest |
|---|---|
| Jan 1, 2026 | $0.00 |
| Jan 1, 2027 | $0.00 |
No statutory investor interest accrues daily, monthly or annually on this completed deed purchase. Values use the inputs above and the same calculator as the worked example.
No statutory interest for this instrument. Statutory investor interest is not applicable to this completed property purchase. There is no guaranteed repayment of the purchase price or interest.
- A private bidder buys foreclosed real estate from the foreclosing governmental unit after the applicable redemption period.
- Michigan Treasury places ordinary redemption expiration on March 31 of the foreclosure year, or twenty-one days after judgment in contested cases. The investor’s auction purchase follows that process.
- The holding date does not start an investor interest clock. A $25,000 deed purchase still has no statutory interest entitlement after one day, six months or one year; this does not value the property at $25,000 or promise its repayment.
- Track rental income, actual sale proceeds, ownership expenses and gains or losses separately. Taxpayer delinquency charges and interest payable by a financed buyer are not investor earnings.
- Excludes unresolved or contested judgments, rescission, defective notice, surviving interests and federal rights.
Illustrative statutory components only, not investment profit. Nonrefundable overbids and fees can produce a loss even when interest is earned. Cash receipts, property value, sale proceeds and booked income are separate.
Before you bid
What to watch for
- Forfeiture alone is not the same as foreclosure or transfer to an investor.
- Calculator scope: A private bidder buys foreclosed real estate from the foreclosing governmental unit after the applicable redemption period. Excludes unresolved or contested judgments, rescission, defective notice, surviving interests and federal rights.
Read the rules
Official sources
Use the governing law and the county’s sale terms to confirm the rules for your certificate or deed.
Keep reading
Related guides
Compare nearby states, then return to the full library or the product page that matches this instrument.