Georgia vs Illinois Tax Lien Investing (2026)
Statutes verified Oct 23, 2026
For a retail investor, Georgia edges it overall (5.7/10 vs 4.8/10). The biggest single difference is legal stability: Georgia scores 8, Illinois scores 3. Neither is "best" for everyone, match the state to your goal below.
- 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
- System:
- lien
- Max rate:
- 9% max penalty bid per 6-month period (35 ILCS 200/21-215; P.A. 102-363)
- Redemption:
- 3yrs; 1yr vacant non-farm, 7+ unit, commercial, industrial. New text: certs issued 7-10-26 on
Head-to-head: 9 dimensions
Flat 20% premium in yr 1 even on day-1 redemption; +10%/yr thereafter
Penalty repeats each 6mo (max 9%/period since 2022) but Cook bids near 0%; post-HB 4537 surplus rules reduce windfall upside
20% of full bid due on any first-year redemption (O.C.G.A. 48-4-42)
Full 6-month penalty tranche owed even if redeemed on day 1 of period
12mo minimum; purchaser may then bar redemption via notice
3yr default (1yr vacant/commercial); new rules apply to certificates issued on or after Jul 10, 2026
First-Tuesday courthouse-steps sales; only some counties on GovEase
County-by-county sales with registration/deposits; Cook uses R.A.M.S. sealed bids
Metro Atlanta deeds bid up hard; rural courthouse sales thinner
Institutional buyers dominate; penalty bid to 0% on quality parcels
Redeemable deed: full winning bid price due upfront
Individual liens can be small, but deposits and registration add friction
Barment notices (48-4-45) then quiet title needed for clean deed
Strict take-notice/petition traps; sale-in-error can void the investment
Premium structure unchanged since 2002 amendments
HB 4537 (Jul 2026) rewrote key collection provisions; post-Tyler surplus rules still settling; new regime untested in court
No OTC program; unsold parcels rare
Unsold/forfeited liens resold via county trustee lists
Choose Georgia if…
- you want stronger legal stability, Premium structure unchanged since 2002 amendments
- 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
Choose Illinois if…
- you want stronger low capital entry, Individual liens can be small, but deposits and registration add friction
- you want stronger otc availability, Unsold/forfeited liens resold via county trustee lists