tax lien
Arizona tax lien guide
Arizona auctions delinquent tax liens. Bidders compete down from a maximum 16% annual rate; the successful bidder holds a certificate, not the property.
Source review applies to the named instrument and scope in the worked example below. It does not cover every county procedure or transaction in Arizona.
When does the clock start?
The Arizona Auditor explains that an ordinary February sale begins investor interest in March. The sale price already includes the February taxpayer charges.
How and when is a return earned?
Whole calendar months, starting the month after purchase
What amount earns a return?
Original tax lien amount paid; separately paid fees and subsequent taxes excluded.
What happens at redemption?
The owner repays through the treasurer. A certificate purchase does not immediately terminate the owner’s rights.
When does earning end?
A later foreclosure process is necessary to acquire title if the lien remains unpaid.
Does property use change the rules?
Classification sources checked 2026-09-15. Review applies to the procedures described below; calculator support is stated separately.
In the real-property tax-lien redemption provisions reviewed, §42-18153 uses the certificate’s interest rate without a residential, homestead or agricultural rate tier. Section 42-18201 ties ordinary foreclosure eligibility to the lien sale, with a different starting event for subsequent certificates acquired by assignment.
A land-use label does not establish the certificate’s age or the applicable foreclosure start date. Review the actual certificate and later assignments separately.
What to verify before bidding
Retain the certificate, sale and assignment dates, awarded rate, subsequent-tax records and the property interest described on the tax roll.
What this calculator covers
The original-certificate illustration does not decide foreclosure eligibility or automatically combine subsequent assigned certificates.
Try the rules
A worked redemption example
Arizona private tax lien certificate. Original private purchase only, no subsequent taxes, added costs, partial payments, special status, bankruptcy, court action or deadline extension.
Original tax lien amount paid; separately paid fees and subsequent taxes excluded.
The prefilled amounts and any collector conventions below are illustrative assumptions. Confirm those facts for an actual holding.
How the return grows
Interest over time.
Original private purchase only, no subsequent taxes, added costs, partial payments, special status, bankruptcy, court action or deadline extension.
View values at each change
| Date | Interest and premium |
|---|---|
| Mar 15, 2026 | $0.00 |
| Apr 1, 2026 | $6.67 |
| May 1, 2026 | $13.33 |
| Jun 1, 2026 | $20.00 |
| Jul 1, 2026 | $26.67 |
| Aug 1, 2026 | $33.33 |
| Sep 1, 2026 | $40.00 |
| Oct 1, 2026 | $46.67 |
| Nov 1, 2026 | $53.33 |
| Dec 1, 2026 | $60.00 |
| Jan 1, 2027 | $66.67 |
| Feb 1, 2027 | $73.33 |
| Mar 1, 2027 | $80.00 |
| Apr 1, 2027 | $86.67 |
| May 1, 2027 | $93.33 |
| Jun 1, 2027 | $100.00 |
| Jul 1, 2027 | $106.67 |
| Aug 1, 2027 | $113.33 |
| Sep 1, 2027 | $120.00 |
| Oct 1, 2027 | $126.67 |
| Nov 1, 2027 | $133.33 |
| Dec 1, 2027 | $140.00 |
| Jan 1, 2028 | $146.67 |
| Feb 1, 2028 | $153.33 |
| Mar 1, 2028 | $160.00 |
| Apr 1, 2028 | $166.67 |
| May 1, 2028 | $173.33 |
| Jun 1, 2028 | $180.00 |
| Jul 1, 2028 | $186.67 |
| Aug 1, 2028 | $193.33 |
| Sep 1, 2028 | $200.00 |
| Oct 1, 2028 | $206.67 |
| Nov 1, 2028 | $213.33 |
| Dec 1, 2028 | $220.00 |
| Jan 1, 2029 | $226.67 |
| Feb 1, 2029 | $233.33 |
| Mar 1, 2029 | $240.00 |
| Mar 14, 2029 | $240.00 |
Whole calendar months, starting the month after purchase Values use the inputs above and the same calculator as the worked example.
- Interest
- $20.00
- Minimum top-up at redemption
- $0.00
- Redemption premium
- $0.00
- Statutory interest and premium at redemption
- $20.00
Estimated repayment including the documented base: $1,020.00.
- 3 chargeable calendar months at 8% annual simple interest divided by 12. The purchase month earns nothing; interest begins on the first day of the next month. Final interest rounded to cents.
- Conditional investor proceeds at redemption; excludes later advances and expenses. This is not recognized accounting income or a collector payoff quote.
Illustrative statutory components only, not investment profit. Nonrefundable overbids and fees can produce a loss even when interest is earned. Cash receipts, property value, sale proceeds and booked income are separate.
Before you bid
What to watch for
- Counting February twice overstates the investor’s return.
- Calculator scope: Original private purchase only, no subsequent taxes, added costs, partial payments, special status, bankruptcy, court action or deadline extension.
Read the rules
Official sources
Use the governing law and the county’s sale terms to confirm the rules for your certificate or deed.
Keep reading
Related guides
Compare nearby states, then return to the full library or the product page that matches this instrument.