VIDEO: Tapped Out: How an Unpaid Water Bill Cost a Baltimore Woman Her Home

PUBLISHED 7:55 AM | 3 Jun 2010


THE TAX LIEN FORECLOSURE: How Small Debts Snowball

Bill Goes Unpaid

Vicki Valentine moves into her father's Baltimore home. The mortgage is paid off, but he dies leaving unpaid bills behind. She makes partial payments, but misses a city deadline to pay off water and sewer charges.
Total owed $362.28


Key Document

Read the Baltimore Circuit Court redemption order for $3,604.41.

City Auctions Debt

Baltimore adds unpaid property taxes and interest to Valentine's total debt before selling it to an investor in a tax lien auction.
water bill$362.28
property taxes$287.92
tax sale fee$40.00
misc. fees$20.37
Total owed $710.57


SOLD! BALTIMORE TAX LIEN SALES ON THE RISE

Total liens sold, 2006-2010

Fees Mount

Valentine has six months before the tax lien investor can sue to seize the property and recover the cost of the debt, plus fees. When she is unable to pay, the investor forecloses.
lien amount$710.57
interest$296.10
attorney fees$1,550.00
title fee$325.00
public notice fee$250.00
filing fee$125.00
dismissal fee$15.00
posting fee$40.00
process fees$110.00
judgement reports$12.00
postage$85.34
copies$79.00
courier costs$5.00
banckruptcy searches $0.40
Total owed