Polonsky v. Bedford
2018Ruled that the three-year limitation on a municipality's duty to pay excess proceeds to a former owner was an unconstitutional taking.
NH
New Hampshire
Tax Deed
New Hampshire is a tax lien state where municipalities, not counties, hold tax liens. If a property remains unredeemed for two years, the municipality may take a tax deed. Investors typically purchase these properties only after the municipality has acquired them via tax deed and subsequently offers them for public sale.
| Upcoming auctions | 0 |
| Counties covered | 10 |
| BS&A municipalities | 10 |
| Scored properties | 0 |
| Last updated | Apr 15, 2026 |
Quick facts
- Sale type
- Tax lien (municipality-held)
- Redemption period
- 2 years
- Interest rate
- 14% per annum
- Sale frequency
- Varies by municipality
- Minimum bid
- Set by municipality
- Deed type
- Municipal deed
- Bidder deposit
- Varies by municipality
Statutory framework
| Sale Type | Tax Lien |
| Redemption Period | The redemption period is two years from the date the tax collector executes the tax lien. During this time, the property owner or any person with a legal interest may redeem the property by paying the total lien amount, interest, and costs. |
| Penalty / Interest | Interest accrues at 14% per annum on the total amount of the recorded lien, calculated from the date of execution to the time of payment in full. |
| Jurisdiction Type | Municipality |
| Jurisdiction Count | 234 |
| Typical Sale Month | Varies by municipality; sales occur at the discretion of the municipal governing body. |
| Assessor Portal | — |
| GIS Portal | — |
| Tax Portal | — |
Sale mechanics
Municipalities sell properties acquired via tax deed through public auctions or advertised sealed bids. The governing body sets the minimum bid, and payment terms, which typically require certified funds, are determined by the specific municipality.
Post-sale obligations
Upon winning a municipal auction, the bidder receives a deed from the municipality. Investors must be aware of the former owner's right to repurchase under specific conditions and the potential for legal challenges regarding the municipality's compliance with notice requirements.
Quiet title cost estimator
Estimate attorney and court costs for clearing title after a New Hampshire tax deed purchase.
Estimated cost$5,000
Timeline9 mo.
Notable counties
Key New Hampshire counties for tax deed investors.
Hillsborough County
Contains major population centers like Manchester and Nashua, leading to higher volumes of tax-deeded property activity.
Rockingham County
High-growth area with significant municipal activity regarding tax-deeded property disposal.
Recent statutory changes
- Following Polonsky v. Bedford, RSA 80:89, VII was addressed to ensure municipalities handle excess proceeds according to constitutional requirements regarding unconstitutional takings.
How to bid at a New Hampshire tax deed auction
Step-by-step process for participating in New Hampshire tax deed sales.
- 1
Monitor Municipal Notices
Regularly check the websites and legal notices of specific towns for tax-deeded property sales.
- 2
Conduct Due Diligence
Perform a title search and physical inspection of the property to identify potential liens or environmental issues.
- 3
Verify Notice Compliance
Confirm the municipality followed all statutory notice requirements to minimize title risk.
- 4
Register for Auction
Follow the specific registration instructions provided by the municipality for the auction or sealed bid process.
- 5
Submit Bid
Submit your bid according to the municipality's established terms and minimum bid requirements.
- 6
Complete Payment
If successful, pay the balance within the timeframe specified by the municipality to receive the deed.
Applicable statutes
Primary statute sections governing tax deed sales in New Hampshire.
Governs the right to redeem property after a tax lien is executed.
Governs the execution of a tax deed to the municipality after two years.
Governs the sale of tax-deeded property by the municipality.
Governs the notice requirements and repurchase rights of former owners.
Notable case law
Landmark court decisions affecting New Hampshire tax deed investors.
Jones v. Flowers
2006A U.S. Supreme Court case often cited in NH regarding the constitutional requirement for municipalities to make reasonable efforts to provide actual notice to owners.
Frequently asked questions
Common questions from New Hampshire tax deed investors.
- The owner has two years from the date the tax lien is executed to pay all taxes, interest, and costs to the municipality.
- It is highly recommended to consult an attorney to determine if a quiet title action is necessary to clear potential defects in the municipality's notice process.
- The primary risk is that the municipality failed to provide proper notice to all interested parties, which could invalidate the tax deed.
- If notice requirements were not met, the former owner may challenge the validity of the tax deed in court.
- Municipalities may use public auctions or sealed bids to sell properties they have acquired via tax deed.
- Generally, no; properties are sold as is, and access is rarely granted by the municipality prior to the sale.
How does the redemption period work?
Do I need a quiet title action?
What title risks should I know about?
What happens if the former owner challenges the sale?
How are auctions conducted?
Can I inspect properties before bidding?
Title Risk Flags
The most significant risk is a failure by the municipality to provide proper notice to all interested parties as required by statute, and failure to properly account for or distribute excess proceeds.
Data sourced from public state statutes, county recorder offices, and AuctionSift's proprietary county monitoring network. Updated weekly.