If a property is sold at tax sale or foreclosed upon and the bid amount is greater than the total taxes, assessments, penalties, and/or costs due, the resulting excess funds are held in escrow and known as “Surplus” or “Overage”. According to most state laws, these funds belong to “the owner of record immediately before the end of the redemption period” and are available to be claimed and payable after execution of the sale of the property.
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