Essex County has scheduled its annual tax foreclosure real estate auction for January 21, 2026, where more than 140 properties will be available to the highest bidders. The event marks the resumption of such sales following a statewide pause prompted by a significant U.S. Supreme Court ruling on property rights.
The auction will be a hybrid event, allowing participation both in-person at the Best Western Plus in Ticonderoga and online through Absolute Auctions & Realty. This approach aims to maximize accessibility for potential buyers interested in residential homes, vacant land, and various investment properties across the county.
Key Takeaways
- Event Date: The auction is set for January 21, 2026, at 10 a.m.
- Properties Available: Over 140 tax-foreclosed properties, including homes and land, will be offered.
- Hybrid Format: Bidders can participate live in Ticonderoga or register to bid online.
- Legal Context: The auction follows a temporary halt in foreclosures across New York after the 2023 Supreme Court case Tyler v. Hennepin County.
- Owner Redemption: Property owners have until January 6, 2026, to pay delinquent taxes and reclaim their properties.
Auction Resumes After Legal Shift on Property Foreclosures
The upcoming auction is significant as it follows a period of uncertainty for municipalities across New York. In May 2023, the U.S. Supreme Court's decision in Tyler v. Hennepin County fundamentally changed how local governments handle tax foreclosures.
The court ruled that keeping surplus funds from the sale of a foreclosed property beyond the owed tax debt violates the Takings Clause of the Fifth Amendment. Previously, it was common practice for towns to retain these excess profits.
This landmark decision led most New York municipalities, including Essex County, to suspend tax foreclosures while awaiting state-level legislative guidance. The pause provided time to ensure new procedures complied with the federal ruling.
Understanding the Supreme Court Ruling
In Tyler v. Hennepin County, the Supreme Court unanimously decided that a homeowner is entitled to the surplus equity in their property after a tax sale. The ruling established that seizing a property to satisfy a tax debt and then keeping the excess profit amounts to an unconstitutional taking of private property without just compensation.
Essex County Treasurer Michael Diskin explained the county’s cautious approach. “That’s why we didn’t begin the process until April 2025,” he stated, referencing the delay which allowed for procedural adjustments. This provided property owners with tax delinquencies from 2020, 2021, and 2022 a six-month window, until October 10, to settle their debts before foreclosure proceedings were finalized.
How the Auction Process Works for Bidders and Owners
The auction offers a variety of properties, from single-family homes to undeveloped parcels of land, attracting a diverse group of potential buyers including local residents, investors, and developers. For those interested in participating, the county has organized a Bidder’s Seminar on January 19 at 6 p.m. at the Best Western Plus to explain the process.
For Bidders
Participation is designed to be flexible. On-site registration for the live event begins at 8 a.m. on auction day, two hours before the bidding starts at 10 a.m. Those preferring to bid remotely must register in advance online via the Absolute Auctions & Realty (AAR) website. The complete catalog of available properties and all necessary auction materials are also available for download on the AAR site.
“The board does not necessarily have to approve all of them. If they feel that there’s a bid that they don’t want to accept, they have the right to reject that bid.”Michael Diskin, Essex County Treasurer
Successful bidders are required to provide a 25% deposit at the time of the auction. They are then given a firm deadline to pay the remaining balance. Failure to meet this deadline results in the forfeiture of the deposit, and the property may then be offered to the second-highest bidder.
For Property Owners
While the foreclosure process has advanced, property owners still have a final opportunity to reclaim their properties. Essex County provides an extended redemption period that goes beyond what is legally required.
“There’s no requirement to give property owners additional time after the six-month period is over, but in Essex County, we allow them to do that up until two weeks before the auction,” Diskin noted. This policy provides a crucial final chance for individuals to avoid losing their property.
Oversight and Future Plans for County Auctions
The auction process does not end when the final gavel falls. Every successful bid is subject to review and approval by the Essex County Board of Supervisors. This step ensures that all sales are considered fair and in the best interest of the county.
According to Diskin, the board retains the right to reject any bid it deems unacceptable. Once the board approves the sales, the transaction proceeds are finalized, and the buyer receives the deed to the property.
Essex County is committed to holding at least one tax-foreclosure auction annually. This regular schedule helps manage the inventory of tax-delinquent properties and return them to the tax rolls, generating revenue for local services. Officials have already indicated that the foreclosure process for properties with unpaid taxes from 2023 is expected to begin in mid-January, which could lead to another auction in the fall of 2026.
This consistent approach aims to create a predictable cycle for both the county and potential real estate buyers, ensuring properties do not remain vacant or neglected for extended periods.
