The process of selling properties with unpaid taxes is primarily conducted through?

The process of selling properties with unpaid taxes is primarily conducted through a public auction due to the legal framework established for tax lien sales. When property owners fail to pay their property taxes, local governments must recoup the lost revenue to maintain public services. Consequently, these properties are often put up for auction, allowing potential buyers to bid on them.

At a public auction, interested parties can openly compete to purchase the property, and this method ensures transparency and public participation. The auction process is designed to maximize the amount recouped by the taxing authority and provides a structured way to transfer ownership of the tax-delinquent properties to new owners, who will then be responsible for paying future taxes.

This method contrasts with other potential options like a bidding process, which typically suggests a more private or restricted arrangement rather than the public and open nature of a typical auction. A lottery system would not be appropriate for determining the sale of properties with unpaid taxes, as it lacks the competitive aspect necessary for fair valuation. A direct sale to buyers might involve negotiations and could overlook the need for multiple interested bidders to ensure the best price for the property, which is fundamental in tax sales to achieve fair recovery for the taxing authority.