Suffolk residents to get extra time claiming profits from auctioned home

Suffolk County lawmakers recently passed legislation adding more time for delinquent homeowners to claim any extra money if their property is sold at public auction.

The change to a two-decade old law approved June 23 now requires homeowners to submit an application within 120 days instead of 90 from the time they received notification from the county’s Division of Real Property Acquisition and Management of available surplus money.

Since 2004, a county law allowed residential homeowners who lost their property due to tax default to recoup surplus funds if the property sold for more than the outstanding mortgage debt and code violations. Legislators at the time said the measure was to correct a “gross unfairness” when the county pocketed surplus funds.

In 2023, the Supreme Court ruled a county in Minnesota violated a 94-year-old woman’s constitutional rights when it kept funds from selling her condominium it acquired for unpaid taxes, the Associated Press reported. 

Following the ruling, the Suffolk Legislature tweaked its law to further comply, and New York State passed similar legislation in 2024.

“We will always do everything we can for our residents, especially those most in need," County Executive Edward P. Romaine said in a statement.

Mike Martino, a spokesman for Romaine, said there was no specific catalyst for the most recent change, noting no surplus money has been dispersed yet this year since none of the auctions resulted in a surplus.

Before a property is sold at auction, there’s a “years-long process” during which the owner can attempt to reclaim it, Martino said.

He added that the county's real estate department can assist homeowners in the process. Suffolk code requires the county to "make reasonable efforts" to notify an applicant of their right to apply for surplus money. The state Department of Financial Services advises anyone owed a surplus to seek help from an attorney.

The county’s Department of Economic Development & Planning held an auction last November where approximately 65 parcels were sold. The next auction is scheduled for late fall 2025.