Each county has their own different structure.
- Some keep the surplus with the county for a certain amount of time and then it reverts to the county, unable to be claimed by anyone.
- Some keep surplus for a year or 2 and then turn it over to the state when it will still be claimable by the person who it is due.
However, when the money is with the state, you are only allowed to charge a certain small percentage as a finder fee to clients. As long as it’s with the county, you are not bound by the state’s unclaimed property laws, so it’s in your best interest to get the overbid records as soon as possible and act on the claims.
Also, if there are major lien holders who are owed some/all of the surplus, they typically have 90 days after the sale to file a claim. After that time, the previous owner is due the surplus.
With that said, you do not need to wait the 90 days before submitting a claim (as the previous owner or asset recovery business assisting them)… the county just won’t approve a claim until the 90 days are over, giving the majority lien holders their due process.