Tax Sales

Process for Tax Sales

Taxes must be in arrears for a minimum of two years before the property is registered for tax sale. It must pass through public process for one year before a public sale may occur.

During this process,

Notices and declarations are prepared for final notice
Advertising for the sale will be placed in the Ontario Gazette for one week and in the local papers, The Stratford Beacon Herald and the Town Crier, for a period of four consecutive weeks
After the four week advertisement period, submissions are to be provided by public tender
If no one submits a minimum bid, the City has the option to vest the property in its name
If there is a successful purchaser, the sale is processed as a general real estate transaction to be closed 14 days after the tender opening

The municipality makes no representation regarding the title to a property or any other matters relating to lands to be sold.

A property may be worth more or less than the minimum tender amount. It is the tenderer's responsibility to do their own research before submitting a tender on a parcel or property.

Every attempt has been made to ensure the accuracy of the information provided. However, the City of Stratford, its officers and employees disclaim any liability for providing any of the information on this page.

Please note that staff will not respond to inquiries prior to the purchase of the information package.

To purchase the information package and receive the forms required to submit a tender, you may e-transfer the $10.00 fee to etransfersAR@stratford.ca. Please include your email address in the comment section of the e-transfer, and follow the payment with an email of your request to the Tax Division. This will ensure we have your correct email address to send the package to.

Physical packages are also available on site at the Municipal office, on the ground floor Clerk's Office, from Monday to Friday from 9am-4pm.

The municipal office is located at: 1 Wellington St, Stratford, Ontario, N5A 6W1.

Frequently Asked Questions

What is a tax sale?

A property tax sale is the process followed by a municipality to recover unpaid property taxes through the sale of the property. Properties become eligible for tax sale once they are two years in arrears. Tax sales are governed by the Municipal Act, 2001 and Ontario Regulation 181/03 Municipal Tax Sales Rules made under that Act.

Are there mortgages or other liens on tax sale properties?

When the tax deed is registered, mortgages and liens are deleted from title except Crown Mortgages – Federal or Provincial.

1. Mortgages/Liens held by the Government of Ontario or the Government of Canada, or one of their agencies or crown corporations will remain on title.
2. The Crown retains the power to possibly seize the property and sell it to recover what is owed to them unless the debt is paid. You would need to contact the specific Government Agency to see how to pay this debt if you choose to purchase a property with a Crown Interest.

This information can be obtained by obtaining a Title Search.

How can I find out if a property will be subject to any such interests before I submit a bid or tender?

It will be necessary to obtain both a Title Search which includes a search of the property (parcel register), an execution/writ search of the owner(s), and any outstanding interests that will affect the lands after the tax deed is registered.

How can I obtain a title search and an execution search?

Contact the local land registry office.

59 Lorne Ave E, Stratford, ON N5A 6S4 (807) 343-7436

Where can I find more information about the permitted use(s) of the property?

Please refer to our Zoning By-Law and our Official Plan for a full list of permitted uses, setbacks, and other regulations. Contact the City’s Planning department with questions on zoning or land use.

What is “Minimum Tender Amount”?

This is the minimum amount that the municipality must receive in order to sell the property. This amount is the total of the outstanding taxes, penalty, interest, and the municipality’s costs in conducting the tax sale procedures. “Minimum Tender Amount” refers to a property that is being sold by public tender.

Can I buy a property for the Minimum Tender Amount?

Not necessarily. The person who submits the highest tender or bid will be permitted to buy the property. The Minimum Tender Amount is simply the lowest amount that the municipality is allowed to accept. Any tender or bid that is received for less than that amount must be rejected by the municipality.

When does the highest tenderer become the owner of the property?

Shortly after receiving payment in full from the purchaser (including Land Transfer Tax, Accumulated Taxes, and if applicable, HST) the municipality will have a “tax deed” registered on title. As soon as a tax deed has been registered the purchaser becomes the owner of the property.

Can the former owner redeem a property?

After a tax deed has been registered the former owner cannot redeem the property; however, before a tax deed is registered, the owner might be able to redeem the property by paying the full amount of taxes and other costs to the municipality, thereby stopping the tax sale.

Will a tax deed give me clear title to a property?

Not necessarily. After a tax sale, properties are subject to any interests in favour of the Crown in right of Ontario or Canada. Tax sale properties may also be subject to other interests such as ‘easements’, ‘restrictive covenants’ and ‘adverse possession’.

Information on such interests can be obtained by obtaining a Title Search.

Can I inspect a house that is being sold at a tax sale?

No, entering onto a property advertised for tax sale is trespassing. The City does not own the property. You can view the property from the road. If you venture onto the property you will be trespassing.

What happens if I buy a house and there are people living in it?

It will be up to you to decide what to do. Please note that the municipality is not obligated to evict people who may be living on the property. If you wish to evict people who are living there, you should consider hiring a bailiff or lawyer to handle the eviction process.

How do I submit the tender package?

Your tender must be submitted in a sealed envelope, addressed to the Treasurer. Please use the pre-addressed envelope provided in the tender package to submit any bids. You can submit your tender in person at our Administration Office (1 Wellington St), or by mail or courier. Your tender must be received on or before the time and date indicated in the notice of tax sale. If your tender is received late, it will be rejected. Rejected tenders will be returned following the tender closing date.

Can I withdraw a tender after I have submitted it?

A tender can be withdrawn if the tenderer's written request to have the tender withdrawn is received by the Treasurer before 3:00 p.m. local time on the closing date. The envelope containing a withdrawn tender will be opened at the time of the opening of the sealed envelopes.

What happens if I don't have the highest tender?

We'll return all tenders that are received except the two highest tenders. Please ensure that the address and phone number you provide is written clearly so we can return your tender and deposit.

NO DEPOSIT CHEQUES WILL BE RELEASED AT THE TENDER OPENING UNDER ANY CIRCUMSTANCES. Deposit cheques of unsuccessful tenderers will be returned by mail ONLY.

What happens if I have the highest tender?

Within 14 days of being declared, the successful purchaser is required to pay:

the amount tendered
accumulated taxes, penalties, and interest
reasonable costs incurred by the City during the tax sale process
HST if applicable
the relevant land transfer tax

The deposit (required as per Ontario Regulation 181/03) is forfeited to the municipality if the transaction is not completed within the 14 days.

What are the annual utility costs?

The City does not have this information.

What are the annual water and/or sewer costs?

The current approved rates can be found on the Municipality’s website in the latest Consolidated Fee Bylaw.

What is the property assessed for and/or what are the annual property taxes?

Assessment values are available by viewing the tax roll ledgers at the Municipal office. Normally, staff are not available to assist with the roll books, but the books are available for public viewing and are organized by roll number. Assessed values are provided in the roll book, along with specific property details such as size etc. To determine annual taxes you can multiply the assessed values by the appropriate tax rates which are available on the Municipality’s website.

How do I get keys for the property?

The City does not have keys to the property and is not responsible to provide to the highest tenderer.

Can the City cancel a tax sale?

Yes, a tax sale can be cancelled by the Treasurer at any time before a tax deed or notice of vesting is registered on title. This means a tax sale can be cancelled before the tender opening or even after the tender is closed.

Why would a tender be rejected?

A tender may be rejected for some of the following reasons:

the tender amount was not equal to or greater than the minimum tender amount
the tender deposit was not provided by money order, bank draft, or certified cheque
the tender did not relate to just one parcel or property
the tender envelope was not sealed, or the envelope did not include on it that it is a tax sale, or it did not provide a short description or municipal address allowing the treasurer to identify what parcel or property the tender was submitted for
the tender included a term or condition that is not allowed for under Ontario Regulation 181/03
the tender was not accompanied by a deposit of at least 20 per cent of the tender amount
the tender was not addressed to the treasurer or typewritten or legibly handwritten in ink.
the tender was not submitted using Form 7
the tender was not one of the two highest tenders

What if I still have some questions about the process?

There are a number of online resources you could consult such as:

- The Municipal Act, 2001, Tax Sale Rules: https://www.ontario.ca/laws/regulation/030181

- The Municipal Property Assessment Corporation (MPAC) www.mpac.ca

Current Tax Sales

There are no tax sales pending at this time.