Texas surplus funds list

Texas surplus funds rules

Sales that create surplus

Tax foreclosure sale (judicial tax suit, Tax Code ch. 33/34); Non-judicial trustee sale (deed of trust); Judicial mortgage foreclosure (rare); HOA foreclosure

Who holds the money

Tax sales: clerk of the court that ordered the sale (district clerk court registry), Tax Code 34.02-34.03. Clerk must mail certified notice to former owner within 31 days of receipt if excess > $25. Trustee sales: trustee, or court registry if interpleaded.

Unclaimed funds go to

Tax sales: clerk holds 2 years after sale (unless court orders otherwise); if no claimant establishes entitlement, clerk distributes funds to the participating taxing units pro rata (Tax Code 34.03, amended HB 4250 eff. 9/1/2023) - does NOT go to state unclaimed property. Trustee-sale excess left with trustee/registry follows general unclaimed-property rules. Note: Prop. Code 70.007 (2-yr county general fund) applies to ch. 70 worker/garage liens, not deed-of-trust sales. verify

How owners claim

Petition (motion) in the court that ordered the sale, may be filed under the underlying cause number; serve all parties under TRCP 21a at least 20 days before hearing; court order signed by presiding judge required for release. Priority: voided-sale purchaser, taxing units (post-judgment taxes), other lienholders, taxing units (unpaid judgment), then former owners who were defendants (or relatives within 3rd degree/heirs). Owners who acquired after judgment generally barred (34.04(c-1)). Sample form: Tarrant County Law Library 'Excess Funds Motion and Order'. — deadline: Petition must be filed before the 2nd anniversary of the tax sale (Tax Code 34.04(a)).

Agent / finder fee cap

Attorney: lesser of 25% of amount obtained or $1,000. Non-attorney may NOT charge any fee to obtain excess proceeds for an owner (34.04(i)). Assignee recovery capped at 125% of what assignee paid the owner (34.04(j)).

Waiting period

Assignment only on or after the 36th day after proceeds are deposited in the court registry (34.04(f)).

Registration

None specific; non-attorney fee arrangements prohibited, so finders operate only as assignees (purchase) or via attorneys.

Getting the list

Lists come from district clerk court registries. Harris County District Clerk: email court.registry@hcdistrictclerk.com for registry excess-proceeds listing (fees may apply) - no public posted list found. Fort Bend District Clerk posts a PDF 'List of Excess Proceeds from Tax Sale' (odysseyreport.fortbendcountytx.gov/District_Clerk/ExcessProceedsFromTaxSale.pdf). Dallas County District Clerk excess-funds list:. Otherwise Texas Public Information Act request to district clerk. verify

Law: Tex. Tax Code 34.03, 34.04