Alabama vs Georgia Tax Lien Investing (2026)
Statutes verified Oct 23, 2026
For a retail investor, Georgia edges it overall (5.7/10 vs 5.6/10). The biggest single difference is otc availability: Alabama scores 9, Georgia scores 2. Neither is "best" for everyone, match the state to your goal below.
- System:
- lien
- Max rate:
- 12% bid-down
- Redemption:
- 3yr min 10yr
- System:
- redeemable deed
- Max rate:
- 20% of bid for year 1 or part, plus 10% for each later year or part (not flat)
- Redemption:
- 12mo from sale, then until purchaser serves barment notice
Head-to-head: 9 dimensions
12% ceiling bid down in 1% steps on GovEase; hot liens go to low single digits
Flat 20% premium in yr 1 even on day-1 redemption; +10%/yr thereafter
Simple interest at bid rate only; no flat penalty on early redemption
20% of full bid due on any first-year redemption (O.C.G.A. 48-4-42)
Owner may redeem anytime; foreclosure only after 3yrs, cert expires at 10yrs
12mo minimum; purchaser may then bar redemption via notice
Most counties auction liens online via GovEase; OTC pickup at county offices
First-Tuesday courthouse-steps sales; only some counties on GovEase
Online GovEase sales draw national bidders; metro liens bid near 0%
Metro Atlanta deeds bid up hard; rural courthouse sales thinner
Liens sell at back taxes; many certificates a few hundred dollars
Redeemable deed: full winning bid price due upfront
Judicial foreclosure + quiet title; 2018-regime redemption litigation traps
Barment notices (48-4-45) then quiet title needed for clean deed
Lien-auction regime only since 2018 (40-10-180+), amended 2022; counties converting
Premium structure unchanged since 2002 amendments
Unsold liens sold over the counter at revenue commissioner offices (e.g. Mobile)
No OTC program; unsold parcels rare
Choose Alabama if…
- you want stronger otc availability, Unsold liens sold over the counter at revenue commissioner offices (e.g. Mobile)
- you want stronger low capital entry, Liens sell at back taxes; many certificates a few hundred dollars
- you want stronger auction access, Most counties auction liens online via GovEase; OTC pickup at county offices
Choose Georgia if…
- you want stronger penalty structure, 20% of full bid due on any first-year redemption (O.C.G.A. 48-4-42)
- you want stronger redemption speed, 12mo minimum; purchaser may then bar redemption via notice
- you want stronger effective yield, Flat 20% premium in yr 1 even on day-1 redemption; +10%/yr thereafter