Tax Foreclosure in Philadelphia: Sheriff Sales and Your Rights
How Tax Foreclosure Works in Philadelphia
Philadelphia's tax foreclosure process is distinct from most other cities because it is governed by Pennsylvania's Municipal Claims and Tax Lien Act (53 P.S. 7101 et seq.) rather than the standard Pennsylvania Rules of Civil Procedure. The City of Philadelphia can sell your property at a Tax Sheriff Sale when you fail to make a payment arrangement on municipal debt — including city property taxes, School District of Philadelphia taxes, and outstanding water and sewer bills.
The Process
Delinquency: When property taxes go unpaid, the City of Philadelphia places a lien on the property. Interest and penalties accrue on the unpaid balance.
Notice and Demand: The City sends notices of delinquency and demands for payment. Under the Municipal Claims and Tax Lien Act, the City must follow strict notice requirements before scheduling a sale.
Sheriff Sale Scheduling: If taxes remain unpaid and no payment arrangement is made, the City may schedule the property for a Tax Sheriff Sale. There are four different Tax Sales conducted each month, plus one quarterly sale.
The Auction: All sales take place at 10 AM on the Bid4Assets Philadelphia Sheriff Sales web page. Bidders purchase properties, not liens. The highest bidder wins.
After the Sale: The purchaser must pay 10% of the total purchase price by 5 PM ET on the first business day following the auction, with the remaining balance due within 15 calendar days.
Right of Redemption
Even after a Tax Sale, the former owner has a nine-month redemption period from the acknowledgment of the deed. During this period, the owner of record can go to court and recover the property by paying all back taxes plus the amount paid by the winning bidder.
Important: Homestead Exemption
Every person who owns and occupies a home in Philadelphia qualifies for the Homestead Exemption, which reduces a homeowner's assessed value by $80,000 for the purpose of calculating property taxes. If you have not applied for this exemption, you may be paying more than you owe.
Programs and Resources That Can Help
Save Your Home Philly Hotline
This is Philadelphia's government-authorized foreclosure prevention program. It provides free housing counseling and legal assistance to any Philadelphia homeowner at risk of losing their home to mortgage or tax foreclosure.
- Phone: (215) 334-4663
- Website: saveyourhomephilly.org
Community Legal Services (CLS)
CLS helps Philadelphia residents who are struggling with property taxes and can often help homeowners qualify for affordable payment agreements or other programs to prevent their home from being lost at sheriff sale.
- Phone: (215) 981-3700
- Website: clsphila.org
Philadelphia Legal Assistance (PLA)
PLA provides free legal services, advice, and referrals for eligible low-income residents.
- Website: philalegal.org
City of Philadelphia Division of Housing and Community Development (DHCD)
DHCD funds Philadelphia's Foreclosure Prevention Program, which provides housing counseling and legal aid.
- Website: phila.gov
Property Tax Relief Programs
Philadelphia offers several property tax relief programs:
- Homestead Exemption: Reduces assessed value by $80,000 for all owner-occupants
- Owner-Occupied Payment Agreement (OOPA): Income-based payment plans for delinquent taxes
- Senior Citizen Tax Freeze: Freezes property taxes for qualifying seniors
- Low-Income Senior Citizen Real Estate Tax Freeze
- Longtime Owner-Occupants Program (LOOP): Tax relief for long-term residents in areas with rising assessments
Contact the City of Philadelphia Revenue Department at (215) 686-6442 to learn about eligibility.
Emergency Steps If You Are Facing a Tax Sheriff Sale
- Call Save Your Home Philly immediately at (215) 334-4663. This is the single most important step. They coordinate housing counseling and legal help.
- Check whether you have the Homestead Exemption. If not, apply immediately — it could reduce your tax bill significantly.
- Contact the City Revenue Department at (215) 686-6442 to ask about payment agreement options, including the Owner-Occupied Payment Agreement.
- Call Community Legal Services at (215) 981-3700 for free legal assistance with your tax delinquency.
- Check your property's assessed value. If it is inaccurate, file an appeal with the Board of Revision of Taxes (BRT) at (215) 686-4334.
- Apply for every tax relief program you qualify for. Many homeowners do not know these programs exist.
- Visit auctionblock.org/get-help for additional resources and guidance.
Know Your Rights
- You have the right to receive written notice before your property is sold at a Tax Sheriff Sale.
- You have a nine-month right of redemption after the sale. You can recover your property by paying all back taxes and the purchase price.
- You have the right to enter into a payment agreement with the City before your property goes to sale.
- The City is required to offer housing counseling assistance and reasonable installment payment agreements to tax-delinquent homeowners facing financial hardship.
- You have the right to contest your property tax assessment through the Board of Revision of Taxes.
Disclaimer
This guide is provided for informational purposes only and does not constitute legal advice. AuctionBlock.org is a mission-driven company that has not yet served its first family. Tax foreclosure laws, exemption amounts, and program eligibility change frequently. Verify all deadlines and eligibility requirements directly with the agencies listed above. If you are facing a tax sheriff sale, consult a licensed attorney in Pennsylvania.
Need help? Visit auctionblock.org/get-help to connect with resources in your area.