SB 1507 Summary

• Grants the state a right of first refusal to purchase tax-foreclosed property at fair market value or minimum bid within the first Tuesday in July following judgment entry.

• Allows cities, villages, townships, and counties to purchase unsold foreclosed property for public purposes at the minimum bid after state declines, with property conveyed within 30 days.

• Permits unsold property after the first sale to be transferred without cost to a land bank fast track authority if that authority submits a written request.

• Requires foreclosed property sales proceeds to be deposited in a restricted account designated for delinquent tax sales, with funds prioritized for reimbursing the delinquent tax revolving fund, then sale costs, foreclosure costs, prior-year costs, and property maintenance costs.

• Automatically cancels all taxes due on property transferred to the state, land bank authority, city, village, township, or county as of December 31 following the transfer or retention.