How to Recover Surplus Funds from Tax Foreclosure Sales in Nevada
If your property was sold at a tax foreclosure sale in Nevada for more than the taxes owed, there is likely surplus money waiting for you. Nevada has clear laws protecting your right to these funds — but you only have one year to claim them.
How Surplus Funds Work in Nevada
When the county treasurer sells a tax-foreclosed property, the sale price often exceeds the tax debt. Under NRS 361.610, the excess proceeds (minus some county deductions) are deposited in an interest-bearing account and held for one year.
Here is what happens to the excess:
- The county keeps the first $300
- The county keeps 10% of the next $10,000
- The rest is held for you and other eligible claimants
Who Can Claim?
Under NRS 361.585, eligible claimants include:
- Former property owners
- Mortgage holders and lienholders (paid first in priority)
- Judgment creditors
- Persons with purchase contracts
- Successors in interest
Lienholders are paid before former owners, so your actual surplus depends on what is left after senior claims.
How to File Your Claim
- Find out when the tax deed was recorded. Your one-year deadline runs from this date, not the sale date.
- Contact the county treasurer and ask about excess proceeds from your property.
- File a written claim within one year of the deed recording. Include your ID and proof of your interest in the property.
- Wait for the decision. The treasurer has 30 days after the claim period expires to approve or deny your claim.
- If denied, you have 90 days to file for judicial review in district court.
The One-Year Deadline Is Absolute
Under NRS 361.610(4), if no claim is made within one year, the money goes to the county general fund permanently. The statute says it "must not thereafter be refunded." There are no exceptions.
Watch Out for Fees
Nevada law protects you: under NRS 361.610(10), if someone helps you recover surplus from your primary residence, their fee is capped at 10% of the surplus. Any recovery agreement must be in writing and signed by you. Be wary of anyone charging more.
Mortgage Foreclosure Surplus
If your home also went through mortgage foreclosure, check for surplus from that sale too. NRS 40.462 establishes the order of distribution: expenses, then the mortgage debt, then junior liens, and finally the balance to you.
The Impact of Tyler v. Hennepin County
In Tyler v. Hennepin County (2023), the U.S. Supreme Court ruled unanimously that governments cannot keep surplus proceeds from tax sales beyond what is owed, finding this violates the Takings Clause of the Fifth Amendment. This landmark ruling has strengthened property owners' rights to surplus funds nationwide. As of 2026, laws are evolving rapidly across all states in response to this decision.
Free Nonprofit Help
AuctionBlock.org is a mission-driven company that helps you recover surplus funds for a flat $4,999 fee, paid only upon successful recovery — not even the 10% that Nevada allows. We search for your funds, prepare your claim, and track your deadlines.
With only one year to act, do not delay. Visit auctionblock.org today to find out if surplus funds are waiting for you in Nevada.
AuctionBlock.org is a mission-driven company providing surplus fund recovery assistance. This guide is for educational purposes only and does not constitute legal advice. Laws change frequently — always verify current statutes with a licensed attorney in your state. Last updated: April 2026.