Is Florida a Tax Lien or Tax Deed State?

It's the first question new investors ask about Florida, and the answer surprises them: it's both. Florida runs a two-step system that starts with tax lien certificates and ends, sometimes, with tax deeds. Here's how it works.

Key Takeaways

• Florida is primarily a tax-lien-certificate state, but unpaid certificates lead to tax deed sales.
• County tax collectors sell certificates by about June 1 each year (Fla. Stat. 197.432).
• After two years from April 1 of the issuance year, a certificate holder can apply for a tax deed (Fla. Stat. 197.502).
• The county Clerk of the Circuit Court runs the tax deed auction (Fla. Stat. 197.542).

Step one: the tax certificate

When property taxes go unpaid, the county tax collector auctions a tax certificate, by about June 1 for the prior year's delinquent taxes (Fla. Stat. 197.432). Investors bid the interest rate down from a maximum of 18% (Fla. Stat. 197.172). The owner can redeem at any time before a deed is issued by paying the taxes plus interest, and Florida guarantees the certificate holder a minimum 5% return on redemption unless the rate was bid to zero (Fla. Stat. 197.472). At this stage you hold a lien, not the property.

Step two: the tax deed

If the certificate isn't redeemed, the holder can apply for a tax deed once two years have passed since April 1 of the year the certificate was issued (Fla. Stat. 197.502). The property then goes to public auction run by the county Clerk of the Circuit Court (Fla. Stat. 197.542), and the winning bidder receives a tax deed to the property. That's the step where ownership actually changes hands.

So which is it?

Call Florida a hybrid. If you want interest income, you're playing the tax-lien-certificate side. If you want to acquire property, you're aiming for the tax deed sale at the end of the line. Florida is not a redeemable-deed state, where the deed transfers immediately subject to a redemption window; here the redemption happens during the certificate stage, before any deed issues. For the difference between the two instruments, see tax lien vs. tax deed.

Want to invest in Florida tax sales the right way? Start with our Florida tax lien investing guide and Florida tax deed sales walkthrough, or talk to Pure Equity Realty.

Frequently asked questions

Is Florida a tax lien or tax deed state?

Both. Florida counties first sell tax lien certificates on delinquent taxes; if the certificate isn't redeemed within about two years, the holder can force a tax deed sale of the property (Fla. Stat. Ch. 197).

Who runs Florida tax sales?

The county tax collector sells tax certificates; the county Clerk of the Circuit Court conducts the tax deed auctions (Fla. Stat. 197.432 and 197.542). They're two different offices and two different stages.

What interest do Florida tax certificates pay?

Up to 18% per year, bid down at auction, with a guaranteed 5% minimum on redemption unless the rate was bid to zero (Fla. Stat. 197.172 and 197.472).

Is Florida a redeemable deed state?

No. Redeemable-deed states issue the deed at the sale subject to a redemption window. In Florida, redemption happens at the certificate stage, before any deed is issued.

Sources

• Florida Statutes Chapter 197: 197.172 (interest), 197.432 (certificate sale), 197.472 (redemption), 197.502 (tax deed application), 197.542 (clerk auction).
• Palm Beach County Tax Collector (certificate process).

Published June 20, 2026. General information, not legal or investment advice; confirm current procedures with the county tax collector and clerk of court.