What Happens When a Former Owner Has Died?

A common and often confusing situation

It is not unusual for a former property owner to pass away before excess funds or surplus funds from a tax sale or foreclosure are identified or claimed. In these situations, the funds generally do not simply disappear, but the process for claiming them can become more involved.

Estates and heirs

Depending on whether the former owner had a will, whether an estate was formally opened, and how many heirs may be involved, a claim may need to proceed through the estate, through an appointed executor or administrator, or directly by heirs, depending on applicable law and the custodian's requirements.

General next steps

Families in this situation often benefit from gathering basic documentation — such as a death certificate, any will, and information about surviving heirs — as an early step, and from seeking independent legal guidance when questions arise about how an estate should be handled.