Detroit

Wayne County Returns Over $3.8 Million to Former Property Owners After Tax Foreclosure Sales

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Published on January 28, 2026
Wayne County Returns Over $3.8 Million to Former Property Owners After Tax Foreclosure SalesSource: Wayne County, MI

In what's turning out to be a financial win for some former property owners in Wayne County, millions are being returned to those who had previously lost their properties due to tax foreclosures. This development follows pivotal Michigan Supreme Court rulings and subsequent changes in state law, allowing previous owners and interest holders to collect remaining funds from the sale of their foreclosed properties.

The legal landscape was significantly altered by the cases of Schafer v. Kent County and Hathon v. State of Michigan, which ruled in favor of disbursing residual proceeds to eligible claimants. These are defined as the money left after covering unpaid taxes, interest, and administrative fees from foreclosure sales before December 22, 2020. According to an article published by Wayne County's official website, the Wayne County Treasurer's Office has taken steps to proactively reach out to potential claimants to ensure they are aware of their changed legal rights.

Not letting the grass grow under its feet, the Treasurer's Office has implemented a multi-faceted campaign to inform individuals who might be eligible for these funds. With measures spanning targeted social media ads, direct mailings, billboards, and even multilingual resources, their task has been to remove barriers and spread awareness about the claims process. "This is money that belongs to the people," Wayne County Treasurer Eric R. Sabree stated, per Wayne County's official website. He also emphasized the importance of informing the public, saying, "People can’t apply for something if they don’t know it exists."