Kluender v. Plum Grove Investments, Inc.
2023The Iowa Supreme Court affirmed that notice by regular and certified mail is 'reasonably calculated' to provide due process.
IA
Iowa
Tax Deed
Iowa tax lien auctions are held annually on the third Monday in June, where investors bid down the percentage of interest in a property to pay delinquent taxes. Winning bidders receive a tax sale certificate, which earns 2% monthly interest. If unredeemed after 21 months plus a 90-day notice period, the holder may obtain a deed.
| Upcoming auctions | 0 |
| Counties covered | 99 |
| BS&A municipalities | 1 |
| Scored properties | 0 |
| Last updated | Apr 15, 2026 |
Quick facts
- Sale type
- Tax lien
- Redemption period
- 21 months + 90 days
- Sale frequency
- Annual (June)
- Interest rate
- 2% per month
- Minimum bid
- Taxes + costs
- Deed type
- Treasurer's Deed
- Bidder deposit
- Varies (registration fee)
Statutory framework
| Sale Type | Tax Lien |
| Redemption Period | The statutory redemption period is one year and nine months from the date of the tax sale. Following this, the certificate holder must serve a notice of expiration, after which the owner has an additional 90 days to redeem. |
| Penalty / Interest | Interest accrues at 2% per month on the amount for which the parcel was sold, including the certificate fee. Each fraction of a month is counted as a whole month. |
| Jurisdiction Type | County |
| Jurisdiction Count | 99 |
| Typical Sale Month | June |
| Assessor Portal | — |
| GIS Portal | — |
| Tax Portal | https://www.iowatreasurers.org |
Sale mechanics
Auctions are primarily held online. Bidders must pre-register, pay a non-refundable fee, and provide tax identification. The auction uses a 'bid down' process where participants bid the lowest percentage of undivided interest in the parcel. Winning bidders must pay the total delinquent taxes, interest, and fees via certified funds.
Post-sale obligations
The winning bidder receives a tax sale certificate, which is a lien interest. The holder is responsible for serving the 'Notice of Expiration of Right of Redemption' to all interested parties after the initial redemption period. Maintenance is not required during the redemption period as the holder does not yet own the property.
Quiet title cost estimator
Estimate attorney and court costs for clearing title after a Iowa tax deed purchase.
Estimated cost$4,000
Timeline6 mo.
Notable counties
Key Iowa counties for tax deed investors.
Polk County
High volume of properties due to the Des Moines metro area.
Linn County
Significant urban volume and active tax sale market.
Woodbury County
Frequently cited for clear procedural documentation.
How to bid at a Iowa tax deed auction
Step-by-step process for participating in Iowa tax deed sales.
- 1
Research the catalog
Review the official list of delinquent parcels published by the County Treasurer in late May.
- 2
Register online
Complete the registration process on the designated county auction platform before the deadline.
- 3
Pay registration fee
Submit the non-refundable registration fee via the required electronic payment method.
- 4
Submit bids
Place bids online during the auction, competing by bidding down the percentage of interest.
- 5
Pay winning bid
Remit the full amount of delinquent taxes and fees to the County Treasurer.
- 6
Monitor redemption
Track the status of the parcel and wait for the 21-month redemption period to pass.
- 7
Serve notice
After 21 months, serve the required 90-day notice of expiration of the right of redemption to all interested parties.
- 8
Apply for deed
If no redemption occurs, apply for a Treasurer's Deed after the 90-day notice period expires.
Applicable statutes
Primary statute sections governing tax deed sales in Iowa.
Governs the annual tax sale date and the requirement to offer delinquent parcels.
Sets the 2% per month interest rate for redemption.
Details the redemption period and notice requirements.
Governs the issuance of the Treasurer's tax deed.
Authorizes quiet title actions.
Notable case law
Landmark court decisions affecting Iowa tax deed investors.
Tyler v. Hennepin County
2023A U.S. Supreme Court case holding that retaining surplus equity from a tax sale beyond the tax debt is an unconstitutional taking.
Frequently asked questions
Common questions from Iowa tax deed investors.
- The owner has 21 months from the sale date to redeem. After this, the holder serves a 90-day notice of expiration. If not redeemed within those 90 days, the right to redeem expires.
- Yes, a quiet title action under Iowa Code Chapter 649 is standard practice to establish marketable title after receiving a Treasurer's Deed.
- The primary risk is a procedural error in the notice of redemption, which can cause a court to set aside the tax deed.
- If the challenge is successful, such as due to improper notice, the court may set aside the deed, potentially requiring the investor to seek a refund of the purchase price from the county.
- Most counties use online platforms for the annual sale on the third Monday in June.
- Investors are responsible for their own due diligence; there is no statutory right to enter or inspect properties prior to the sale.
- Costs vary significantly based on the complexity of the title and whether the action is contested, typically ranging from $2,500 to $7,000+.
How does Iowa's redemption period work?
Do I need a quiet title action?
What title risks should a buyer know?
What happens if the owner challenges the sale?
How are auctions conducted?
Can I inspect properties?
What is the average cost of quiet title?
Title Risk Flags
Failure to strictly follow statutory notice requirements is the most common reason tax deeds are set aside. Using abbreviated legal descriptions from tax statements in quiet title petitions can also lead to dismissal.
Data sourced from public state statutes, county recorder offices, and AuctionSift's proprietary county monitoring network. Updated weekly.