Delinquent Property Taxes in Oregon: One Circuit Court Judgment, Then Two Years to Redeem
Reviewed by DocDraft Legal Team · Oregon · Last updated October 21, 2026
One Oregon circuit court judgment, entered in late summer against every parcel in the county that is three years behind, sells the house to the county itself and starts the only clock that then matters. Delinquent property taxes are taxes a homeowner did not pay by the state's date, after which the county adds interest and can force a sale to collect them. Taxes on real property not paid on or before May 15 are delinquent (ORS 311.510), and interest runs at one and one third percent a month on each unpaid third (ORS 311.505(2)). Three years after the earliest date of delinquency the parcel becomes subject to foreclosure (ORS 312.010(1)). The tax collector and the district attorney then bring one in rem proceeding covering the whole foreclosure list (ORS 312.050), and the court orders the listed parcels sold directly to the county, the certified copy of the judgment serving as the certificate of sale (ORS 312.100). Nobody bids, and no certificate is sold to an investor. What the owner gets instead is two years from and after the date of the judgment in which to redeem (ORS 312.120(1)), with possession throughout (ORS 312.180). Redeeming costs the full judgment amount, interest on it at the legal rate, a flat penalty of five percent, and a fee starting at fifty dollars (ORS 312.120(2), (5)). You pay the county tax collector, who issues a free certificate of redemption (ORS 312.130). Let the two years run out and the parcel is deeded to the county (ORS 312.200). Attorney review is available through DocDraft.
Find out where you stand in Oregon
Where are you with the unpaid property taxes?
DocDraft provides document preparation, not legal advice.
When can an Oregon county take my house for unpaid property taxes?
Real property is subject to foreclosure whenever three years have elapsed from the earliest date of delinquency of taxes levied and charged on it (ORS 312.010(1)). The county then gets a circuit court judgment ordering the parcel sold to the county (ORS 312.100), and two more years pass before the deed issues (ORS 312.120(1)).
How much does it cost to redeem an Oregon property after the judgment?
The full amount applicable to the property under the judgment, interest on it as provided by law, a penalty of five percent of that total, and a fee (ORS 312.120(2)). The five percent is flat, not a rate. The Department of Revenue states judgment interest as 9 percent per year.
When exactly does the Oregon redemption period end?
Two years from and after the date of the judgment of foreclosure (ORS 312.120(1)). Properties not redeemed in that period are deeded to the county by the tax collector, and all rights of redemption terminate on execution of that deed (ORS 312.200). The judgment date, not any sale date, sets the deadline.
When do Oregon property taxes become delinquent each year?
Taxes may be paid in full by November 15 or in three installments due November 15, February 15 and May 15 (ORS 311.505(1)). Taxes on real property not paid on or before May 15 are delinquent (ORS 311.510). Interest of one and one third percent a month runs on each unpaid third.
Oregon delinquent property tax rules at a glance
The buyer at an Oregon tax foreclosure is the county, by court order, which is why there is no auction date to count backwards from. Delinquent property taxes are taxes a homeowner failed to pay by the date the state fixed, after which the county adds interest and can ultimately force a sale. The sequence runs: delinquent after May 15 (ORS 311.510), interest at one and one third percent a month (ORS 311.505(2)), foreclosure available at three years (ORS 312.010(1)), a judgment ordering the parcel sold to the county (ORS 312.100), two years of redemption measured from that judgment (ORS 312.120(1)), then a deed to the county (ORS 312.200). The redeemer pays a flat five percent penalty rather than a rate, plus interest on the judgment at the legal rate of nine percent per annum (ORS 312.120(2), ORS 82.010(2)).
Three missed Mays, one August docket, and a Klamath Falls bungalow
Follow a single Klamath County tax year all the way to the courthouse. About 2,100 dollars of 2022 to 2023 taxes on a Klamath Falls bungalow go unpaid, so the bill is delinquent after May 15, 2023 (ORS 311.510) and interest accrues at one and one third percent a month (ORS 311.505(2)). By May 2026 those taxes are three years delinquent, which makes the parcel subject to foreclosure (ORS 312.010(1)). The list is built in July, the proceeding is instituted on the day three months after the day of delinquency (ORS 312.050(1)), and about 30 days after publication the circuit court enters judgment ordering the bungalow sold to the county (ORS 312.100). The owner then has until that same date in 2028 (ORS 312.120(1)) and keeps living there (ORS 312.180). The amounts here are illustrative, and the tax collector's records govern.
Relevant Laws
ORS 311.505 and ORS 311.510 (due dates, monthly interest, date of delinquency)
Section 311.505 makes the first one-third of taxes due on or before November 15, the second on or before February 15 and the remaining third on or before May 15, charges interest at one and one-third percent per month, or fraction of a month, until paid on any installment not paid by December 15, February 15 or May 15, and allows a 3 percent discount where all of the taxes are paid by November 15. Section 311.510 provides that taxes on real property not paid on or before May 15 are delinquent. Oregon publishes the Revised Statutes by chapter, so the official link is the chapter page.
ORS 311.545 (the written delinquency notice)
Requires the tax collector, as soon as practicable after taxes become delinquent each year, to send each person shown on the tax roll as owning real property with unpaid taxes a written notice stating a brief description of each parcel, the total amount due and delinquent, the rate of interest and penalties applicable, and the date on or after which foreclosure proceedings may be commenced. It does not apply where less than one dollar is delinquent against a parcel.
ORS 311.515 (partial payments, and how they are credited)
Provides that partial payments of taxes levied and charged on any property of at least 40 dollars may be made at any time, that interest is charged on each partial payment at the rate provided in ORS 311.505(2) from the due date of the installment it applies to, and that each partial payment is credited first to accrued interest and penalties and then to the principal of the taxes. It is not an installment plan and does not by itself suspend a foreclosure.
ORS 311.668, ORS 311.672, ORS 311.691 and ORS 311.693 (homestead deferral and delay of foreclosure)
Section 311.668 lets an individual aged 62 or older, or a person with a disability, claim deferral of property taxes on an eligible homestead, subject to household income and net worth limits. Section 311.672 requires the claim to be filed with the county assessor after January 1 and on or before April 15 preceding the tax year, with a later filing allowed to December 1 on payment of a fee. Sections 311.691 and 311.693 let the owner of a tax-deferred homestead apply to the county assessor for delay of foreclosure before the redemption period expires, remove the parcel from the foreclosure list or vacate the judgment, and bar, abate or refund the five percent penalty.
ORS 312.010, ORS 312.030 and ORS 312.050 (the three year trigger and the foreclosure list)
Section 312.010 makes real property subject to foreclosure for delinquent taxes whenever three years have elapsed from the earliest date of delinquency of taxes levied and charged on it. Section 312.030 requires the tax collector, within two months after the day of delinquency each year, to prepare a foreclosure list naming the owners, describing each property, giving the delinquent years and amounts, and continues interest at the ORS 311.505(2) rate until judgment. Section 312.050 requires the proceeding to be instituted on the day that is three months after the day of delinquency of the latest year, as one general in rem proceeding against the property itself.
ORS 312.040 (notice of the proceeding and the capital letter warning)
Requires notice by both one publication of the foreclosure list in a newspaper of general circulation in the county and delivery of notice to the owners shown in the county deed records, requires counties to conduct due diligence to locate property owners including searches of land, court and other records and online databases, and prescribes the contents, including the exact amount of unpaid taxes owed and a 14-point capital letter warning that the property will be deeded to the county and the owner's interest terminated unless the back taxes and fees are paid. Amended by 2025 c.475.
ORS 312.070 and ORS 312.080 (answer, defense and summary hearing)
Section 312.070 allows any person interested in real property included in the foreclosure list to file an answer and defense to the application for judgment within 30 days after the date of first publication of the list, exclusive of the day of first publication, in writing under oath and specifying the particular cause of objection. Section 312.080 requires the court to examine the application and, where an answer and defense is filed, to hear the matter in a summary manner without other pleading.
ORS 312.090 and ORS 312.100 (the judgment, and sale to the county)
Section 312.090 requires the court to give judgment for the delinquent taxes and interest appearing to be due, makes the judgment a several judgment against and a lien on each parcel, and provides that the several judgment bears interest at the legal rate from the date of entry. Section 312.100 requires the court to order the properties sold directly to the county for the respective amounts of taxes and interest owed, and makes the certified copy of the judgment delivered to the tax collector the certificate of sale to the county, with no other certificate needed.
ORS 312.110 (removing a parcel before judgment, and the five percent penalty)
Provides that at any time prior to judgment a parcel may be removed from the foreclosure proceeding by payments such as would have prevented its inclusion in the list, plus any additional interest or penalty accrued, except that after the first publication of the list the person must also pay a penalty of five percent of the total amount of taxes and interest charged against the property, which stands in lieu of all publication costs and other foreclosure charges. After the application for judgment is filed, removal requires a court order.
ORS 312.120 (two years from the judgment, who may redeem, the penalty and the fee)
Provides that all real properties sold to the county under ORS 312.100 are held by the county for two years from and after the date of the judgment of foreclosure unless sooner redeemed, that during that period any person having an interest at the date of judgment, an heir or devisee, a lienholder of record or a municipal corporation with a lien may redeem by paying the full amount applicable under the judgment with interest as provided by law plus a penalty of five percent of that total and a fee, that the penalty and fee are in lieu of all costs chargeable in connection with the foreclosure, and that the fee is 50 dollars before the certified notice under ORS 312.125 or, on or after it, the greater of 50 dollars or the county's actual title search cost.
ORS 312.122 (a shorter period for waste or abandonment)
Allows a county by ordinance to require the tax collector to deed property to the county after a 30 day period where the property is subjected to waste resulting in forfeiture of the right to possession under ORS 312.180, or is unoccupied by the owner or any recorded interest holder for six consecutive months and has suffered or will suffer substantial depreciation in value. The county must set a date, time and place for a hearing and give the owner and recorded interest holders an opportunity to be heard.
ORS 312.125 and ORS 312.190 (one year notice of expiration, and the published notice)
Section 312.125 requires the tax collector, not less than one year before the period of redemption expires, to notify everyone entitled to redeem whose interest appears in county records, by both certified mail and regular first class mail with a copy posted to the county website, stating the exact amount owed, the date of the judgment, the date of expiration, a warning that the property will be deeded to the county immediately on expiration, and information about the right to claim a surplus. Section 312.190 requires a general published notice in two weekly newspaper issues not more than 30 nor less than 10 days before expiration.
ORS 312.130 (certificate of redemption, issued free of charge)
Provides that receipt of the redemption money by the tax collector releases all claims of the county under the judgment of foreclosure, requires the tax collector immediately to enter that the delinquent taxes, interest and penalty have been paid and the property redeemed, and to deliver a certificate of redemption stating the description, the total paid and the date of entry of the judgment, which the redemptioner files with the clerk of the court that issued the judgment. No fee may be charged for issuing the certificate.
ORS 312.180 and ORS 312.200 (possession during redemption, then the deed to the county)
Section 312.180 provides that the sale of property to the county on foreclosure does not affect the former owner's right to possession during the period of redemption, but that waste committed by the former owner or anyone acting under their permission or control forfeits that right to the county and is punishable under ORS 312.990. Section 312.200 requires properties not redeemed within the two year period to be deeded to the county by the tax collector, terminates all rights of redemption on execution of that deed, and dispenses with any return or confirmation of the sale or deed.
ORS 312.270 (what the county's title carries)
Provides that when a county acquires real property by foreclosure for delinquent taxes the conveyance vests in the county title to the property free from all liens and encumbrances except assessments levied by a municipal corporation for local improvements to the property, and that a private purchaser at a resale by the county acquires title free and clear of all local improvement assessments levied by any municipal corporation.
ORS 312.520 and ORS 312.530 (how the county disposes of the property, and how the surplus is computed)
Section 312.520 lets the county retain the property for public purposes or transfer it to a nonprofit, otherwise requires property that was the former owner's primary residence in a residential zone to be listed with an independent real estate broker, and otherwise requires a public high-bid auction with at least 30 days of multiple listing service advertising and a minimum starting bid of two-thirds of fair market value, with the gross proceeds deposited in a separate interest-bearing account. Section 312.530 defines the surplus as the value of the property less the allowable county costs, requires the amount to be determined within 60 days, itemizes the allowable costs, and requires the county to give the claimant an itemized accounting. Both sections were enacted by 2025 c.475.
ORS 312.540, ORS 312.550 and ORS 312.560 (claiming the surplus from the State Treasurer)
Section 312.540 entitles a claimant, meaning the owner as of the date the property was sold to the county or that owner's estate, heirs or devisees, to the return of any surplus, and requires the claim to be made with the State Treasurer in the manner provided by ORS 98.392 and 98.396. Section 312.550 requires the county, within 60 days after a claim could arise, to notify the claimant and listed state agencies, with a capital letter notice that the claimant is entitled to a refund of money held by the county and a statement of the right to seek a writ of review and the deadline for filing it. Section 312.560 makes a surplus unclaimed property and requires the county to deliver it to the State Treasurer within 30 days of determining it. Enacted by 2025 c.475, and applicable to claims for which the claimant received notice under ORS 312.125 on or after May 25, 2023.
ORS 82.010 (the legal rate that the foreclosure judgment carries)
Provides that, except as stated in the subsection, the rate of interest on judgments for the payment of money is nine percent per annum, that interest accrues from the date of entry of the judgment unless the judgment specifies another date, and that interest on a judgment under that subsection is simple interest unless otherwise provided by contract. This is the rate ORS 312.090 refers to when it provides that the several tax foreclosure judgment bears interest at the legal rate from the date of entry.
Oregon Department of Revenue, Real Property Foreclosure, 150-310-671 (Rev. 03-17-26)
The state revenue department's plain English publication on the process. It states that real property is subject to foreclosure three years after the taxes become delinquent, that taxes unpaid in full by May 16 are delinquent, that the foreclosure list is prepared in July and published in August on the day the application for judgment is filed, that the circuit court may issue judgment a minimum of 30 days after filing, that a two year redemption period begins once judgment is granted, that redemption takes all taxes and interest on the judgment and decree plus the 5 percent penalty, interest on the judgment and a 50 dollar redemption fee, that interest on the total amount of judgment and decree is 9 percent per year, and that at the end of the period the tax collector deeds the property to the county.
Oregon State Treasury, Unclaimed Property: Foreclosure Surplus FAQ
The Treasury's public explanation of the 2025 surplus law, House Bill 2089, which it describes as amending ORS chapter 312 to establish a process for property owners to claim surplus funds remaining after counties sell a property through foreclosure for unpaid property taxes, enacted to bring state law into line with the 2023 United States Supreme Court decision on retaining surplus equity. It states that the law takes effect September 26, 2025, that counties have 60 days after receiving gross sale proceeds to determine a surplus and 30 days after that to report it, that the program holds surplus funds in trust, and that the funds are available to claim forever by the owner or their rightful heirs.
Union County Assessor and Tax Collector: foreclosure proceedings timeline
A county tax collector page showing how the statutory clock is administered month by month: delinquency notices in June, letters by regular and certified mail in July and August, the list prepared in early August, published August 16 or later on the day the application for judgment is filed in circuit court, judgment 30 days after publication starting the two year redemption period, the one year certified notice, the published expiration notice at one year and eleven months, and the deed to the county at two years. It also records that during the redemption period payments may only be accepted from parties with a recorded interest at the date of judgment, and that partial payments cannot be accepted.
Regional Variances
Oregon delinquent property tax rules at a glance
Sale mechanism
Judicial foreclosure with the county as buyer. The tax collector, assisted by the district attorney, brings one general in rem proceeding against every parcel on the foreclosure list (ORS 312.050), the court gives judgment foreclosing the liens (ORS 312.090) and orders the parcels sold directly to the county, and the certified copy of the judgment is itself the certificate of sale (ORS 312.100). No lien is sold and no certificate is auctioned to an investor.
Delinquency dates
Taxes may be paid in full by November 15, or in three installments due November 15, February 15 and May 15 (ORS 311.505(1)). Taxes on real property not paid on or before May 15 are delinquent (ORS 311.510), which the Department of Revenue states as delinquent on May 16. Paying all of the taxes by November 15 earns a 3 percent discount (ORS 311.505(3)).
Interest before any foreclosure
One and one third percent per month, or fraction of a month, until paid, on any installment not paid by December 15 for the first third, February 15 for the second, or May 15 for the last (ORS 311.505(2)). The same rate continues on the amounts carried in the foreclosure list until judgment is obtained (ORS 312.030(2)). The first penalty in the sequence is the five percent that attaches on removal or redemption (ORS 312.110, ORS 312.120(2)).
Time before the county can act
Three years. Real property is subject to foreclosure whenever three years have elapsed from the earliest date of delinquency of the taxes levied and charged on it (ORS 312.010(1)). The list is prepared within two months after the day of delinquency (ORS 312.030(1)), and the proceeding is instituted on the day three months after it (ORS 312.050(1)), so mid-August in practice.
Redemption period and clock
Two years from and after the date of the judgment of foreclosure (ORS 312.120(1)). The clock is tied to the judgment, not to the delinquency date, not to a sale and not to a deed, because there is no auction in the Oregon sequence. A county may by ordinance shorten it where the property is subjected to waste or has been unoccupied for six consecutive months and is depreciating (ORS 312.122).
Redeemer's charge
A flat penalty, not a monthly or bid-down rate. Five percent of the total amount applicable to the property under the judgment, which is the same figure on the first day of the redemption period and on the last (ORS 312.120(2)). The only time-varying piece is interest on the judgment, which runs at the legal rate from the date of entry (ORS 312.090), nine percent per annum simple (ORS 82.010(2)), stated by the Department of Revenue as 9 percent per year.
Other redemption costs
The full judgment amount and interest, plus a fee: 50 dollars if the parcel is redeemed before the certified one year notice under ORS 312.125 is given, and on or after that notice the greater of 50 dollars or the county's actual cost of a title search and related expenses (ORS 312.120(5)). The five percent penalty and that fee stand in lieu of all other foreclosure costs, and the certificate of redemption is issued free (ORS 312.130).
Notice to the owner
A written delinquency notice each year stating the amount, the interest rate and the date foreclosure may begin (ORS 311.545); publication of the list plus delivery of notice to owners of record, carrying a prescribed 14-point capital letter warning (ORS 312.040); notice of expiration by certified and regular first class mail not less than one year before the period ends, posted to the county website (ORS 312.125); and a general published notice in two weekly issues, 30 to 10 days before it ends (ORS 312.190).
Where to redeem
The county tax collector, meaning the officer charged by law with collecting taxes assessed on real property (ORS 311.005). Receipt of the money by the tax collector releases the county's claims under the judgment, and the tax collector issues a certificate of redemption at no charge, which the redemptioner files with the clerk of the court that entered the judgment (ORS 312.130).
Surplus proceeds
Claimable, and claimed from the State Treasurer rather than the county. The county determines the surplus within 60 days of depositing the gross proceeds (ORS 312.530(2)), must deliver it to the State Treasurer within 30 days of that determination (ORS 312.560(2)), and the claim is made with the State Treasurer under the unclaimed property procedure (ORS 312.540(2)). These sections were enacted by 2025 c.475 and apply to claims where notice under ORS 312.125 was received on or after May 25, 2023.
Payment plan
No statutory installment plan suspends the process. Partial payments of at least 40 dollars may be made at any time, with interest from the installment's due date and credited first to interest and penalties (ORS 311.515), and county practice is that only full redemption by a party with a recorded interest is accepted after judgment. The route that does stop the clock is delay of foreclosure on a tax-deferred homestead, applied for with the county assessor before the period expires (ORS 311.691, ORS 311.693).
Frequently Asked Questions
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