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Every Tax Adjudicated Auction Bid Starts at $3,385, But Why?

New Orleans is in the beginning stages of a major tax deed and adjudication auction. If you haven't been following along, here's the short of it — 1,735 properties will soon be on the auction block, provided each property gets a $650 research fee paid to get the ball rolling. After the 90 day research period, the auction opens up. While the research fee is established, it appears that the starting bid fee is also a fixed amount. Civic Source pegs it at $3,385.

The reason? Lots and lots of various and estimated fees. $650 of that deposit goes towards research, of course, but it's an additional $710 cumulatively for estimated mailing, legal, paperwork, and insurance fees. The fees that are set in stone are as follows:

· $150 towards processing, which includes preparing and filing documents as well as confirming auction eligibility.
· $750 towards a "title insurance certification fee;" basically, money paid to a third party to insure the title of your new potential property.
· $750 towards more legal fees like attorney and notary because sometimes closing on a sale can be nearly impossible.
· $375 toward compiling documents and reviewing them.

We're reaching out to Civic Source and the city with any additional questions, like how long each auction will last once they're opened up. Curious about an auction item? Let us know via the tipline.
· All Auction Coverage [Curbed NOLA]