Kentucky situation guide · Updated November 2026

Wholesaling Tax Delinquent Properties in Kentucky

Wholesaling tax delinquent properties in Kentucky means finding owners who have fallen behind on property tax bills, agreeing to buy their house, and passing that contract to a cash buyer. In Louisville and across Jefferson County, unpaid bills can turn into a certificate of delinquency, so the clock matters to the owner. Kentucky also restricts how a contract interest may be advertised, so the way you find buyers matters as much as the way you find sellers.

Certificates of delinquencyHB 62 advertising rule100% online mentorship

Get the free starter kit Book a free call

Call/Text818-532-0481

Let’s find your starting point

Explore the mentorship.

Request a free fit call to discuss your goals and whether the program is right for you.

The short answer

Can you wholesale a tax delinquent property in Kentucky?

Yes, you can contract to buy a tax delinquent house, but Kentucky law treats advertising your contract interest as real estate brokerage. Check current text with a Kentucky attorney or the Kentucky Real Estate Commission before you market any deal.

When an owner stops paying property tax, the bill does not simply vanish. Kentucky’s tax collection chapter, KRS 134, lets unpaid taxes become a certificate of delinquency. Private third-party purchasers can buy those certificates and may be able to sue to collect or foreclose. Our tax lien vs tax deed guide shows how the two systems differ.

In 2023 Kentucky passed HB 62. It amended KRS 324.010 so that advertising for sale an equitable interest in a purchase contract counts as brokerage, and KRS 324.020(1)(b) makes that advertising unlawful for an unlicensed person. Read our license rules guide, then ask an attorney how it applies to you.

Tax Delinquent Properties in Kentucky at a glance

Tax collection law	KRS Chapter 134
Unpaid bills	Can become a certificate of delinquency
Third-party buyers	May buy certificates and pursue collection
Redemption and interest	Check current rules with the county clerk
Advertising a contract	Restricted by KRS 324.010 and 324.020
Closings	Normally handled by a Kentucky attorney

The opportunity

Why tax delinquent leads work in Kentucky

Louisville has a wide spread of housing, from older brick shotguns in Portland and Shawnee to ranches in Okolona and Pleasure Ridge Park. Some owners there fall behind because of job loss, illness or a death in the family, and the bill grows each year. Many want a clean exit more than a top price. That gives you room to talk plainly. Start with the tax delinquent lists your county publishes, and compare them to our pre-foreclosure and tax lead guide.

Motivated by a deadline

Owners who see a collection notice often welcome a fast, certain sale.

Less competition

Many investors skip small-balance tax files, so a polite letter can stand out.

Room to negotiate

Unpaid taxes and fees come out of the price, which you can explain in plain numbers.

Get the free starter kit See the mentorship

Lead sources

Where to find tax delinquent leads in Louisville and beyond

County delinquent lists. Ask the Jefferson County Attorney and the clerk what is public, and check the Property Valuation Administrator for owner details.
Skip tracing. Owners of delinquent homes often live elsewhere. Our skip tracing guide explains how to reach them.
Direct mail. A plain letter works better than a flashy one. See direct mail for wholesalers.
Absentee owners. Out-of-state heirs often ignore the bill. Try absentee owner leads.
Driving the area. Overgrown yards on a delinquent file are a good sign. Use driving for dollars.

Your exit

Who buys tax delinquent deals in Kentucky

Cash buyers who renovate and resell, and landlords who want older Louisville rentals, are the usual end buyers. Because of HB 62, do not post the contract on social media, bandit signs or public lists unless you hold a Kentucky license or work with a licensed broker. Build a private list first. Our guide to finding cash buyers covers how.

Some students buy the house in their own name and resell it. That is a different structure from selling a contract, so ask your attorney which fits. A double closing is one common route, and Kentucky attorneys run closings, so they will see both legs.

Book a free call

Step by step

How to start wholesaling tax delinquent properties in Kentucky

Pull the list. Get the delinquent records from the county and match them to owners.
Contact the owner. Write or call with respect, and follow Kentucky solicitation and do-not-call rules.
Verify the debt. Ask the clerk what is owed and run a title search.
Run the numbers. Use the ARV calculator and the MAO calculator.
Sign the contract. Include assignment language and disclose your intent to the seller in writing.
Line up a buyer privately. Follow the wholesale offer guide and avoid public advertising.
Close with an attorney. Use an investor-friendly title company or attorney, and pay the taxes at closing.

Your checklist for wholesaling Tax Delinquent Properties in Kentucky

Get the exact tax balance and any certificate holder in writing.
Check whether a third-party buyer already holds a certificate.
Search title for liens that outlive the sale.
Do not advertise the contract publicly without a license.
Use a Kentucky attorney for the closing.

A Kentucky example: a Louisville homeowner three years behind on taxes

Contract price	$118,000
Back taxes and fees paid at closing	$6,400
Estimated repairs	$26,000
Estimated ARV	$175,000
Assignment fee	$9,000
Seller proceeds after payoffs	About $108,000

A widow in Shawnee had missed three tax bills after her husband died. A letter arrived about a certificate of delinquency, and she did not know who to call. Her house needed a roof, floors and a kitchen.

You walked the house, pulled comps and offered $118,000. You told her in writing that you might assign the contract. Her attorney agreed the back taxes would be paid out of the sale.

You found a rehab buyer from a private list and earned a $9,000 fee. She kept the roughly $108,000 left after the payoffs and moved in with her daughter.

Kentucky rules to know

Kentucky rules to know on tax delinquent deals

Kentucky enacted 2023 HB 62. KRS 324.010 treats advertising for sale an equitable interest in a purchase contract as real estate brokerage, KRS 324.020(1)(b) makes that advertising unlawful for an unlicensed person, and KRS 324.990 sets misdemeanor and felony penalties. KRS 324.030 lists exceptions, but it does not list wholesalers. Check current text with an attorney or the Kentucky Real Estate Commission.

On the tax side, KRS 134 governs certificates of delinquency and third-party purchasers. Redemption periods, interest and fees can change, so check current rules with the county clerk before you quote any figure to a seller. Phone and text outreach is covered by Kentucky’s telephone solicitation law, KRS 367.46951 and following, plus federal rules. See our TCPA guide.

Learn it with a mentor

Work a tax file with a coach beside you

Tax files look simple until a certificate, a lien or an heir appears. Mentorship students bring us the file, and we help them decide whether to contract, pass or call a lawyer.

See the course See the mentorship

FAQ

Tax Delinquent Properties in Kentucky: common questions

Is wholesaling tax delinquent properties in Kentucky legal?

Contracting to buy is generally lawful, but advertising your contract interest to the public can count as unlicensed brokerage under HB 62. Check current text with an attorney or the Kentucky Real Estate Commission, and keep buyer outreach private for now.

What is a certificate of delinquency?

It is what unpaid property tax can become under KRS 134. A third party can buy it and may be able to pursue collection. Ask the county clerk and an attorney for the current interest and redemption terms in writing.

Can I find out what a seller owes?

Yes. The county clerk and Property Valuation Administrator can help. Confirm the exact payoff before closing, because interest and fees can change the number, and get the owner’s written permission before you request account details from either county office directly.

Do I need a lawyer to close?

In most Kentucky deals an attorney handles the closing. Ask your title company or attorney how they work, and confirm early how they will pay off any certificate of delinquency or tax lien from the seller’s proceeds at the closing table.

Can I text owners on a delinquent list?

Follow federal rules and Kentucky’s telephone solicitation law, and check consent and do-not-call lists first. Federal rules can require prior consent for texts, and a delinquent list does not supply it, so keep any message short, kind, polite and honest.