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    Land & Acreage

    Can I Sell My Land in Waco With Delinquent Property Taxes? (2026 Guide)

    Dabney Real Estate Team

    Yes, you can sell land with back taxes in McLennan County. Watch out for Ag Exemption rollback taxes, 2026 deadlines, and why land sits longer on the market than houses.

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    Can you sell a vacant lot or acreage in Waco if you owe delinquent property taxes?

    Yes. Just like with a house, you can sell land with back taxes. The overdue amount is deducted from the final sale price at closing and sent to the McLennan County Tax Office. You walk away with the remaining profit.

    The Reality Check

    Land is much harder to sell quickly than a house. While a house in Woodway or Hewitt might sell in 60 days, raw land in McLennan County can sit on the market for 6 to 12 months if priced incorrectly. If you are racing against a tax foreclosure or a penalty deadline, you do not have the luxury of time.

    The "Line in the Sand": February 1, 2026

    The tax clock ticks the same for land as it does for homes.

    Right Now (Winter '25)

    You owe the base tax amount.

    Feb 1, 2026

    Delinquency hits. 7% penalty + interest.

    July 1, 2026

    "Attorney Collection Fee" (15–20%) kicks in.

    The Land Owner's Trap: Because land takes longer to sell, many owners list their property in January, thinking they have time. But if it takes 5 months to find a buyer, you will be paying those escalating penalties at closing—eating up thousands of dollars of your profit.

    The "Hidden" Land Tax: Ag Exemption Rollbacks

    This is the #1 surprise that ruins land deals in Texas. If your land currently has an Agricultural (Ag) Exemption (for grazing, hay, etc.) and you sell it to someone who changes the use (like a developer or someone building a home), you could trigger Rollback Taxes.

    ⚠️ Rollback Risk

    • What is it? The county can charge you the difference between the Ag tax rate and the regular Market tax rate for the last 3 to 5 years, plus interest.
    • The Shock: A $200/year tax bill can suddenly turn into a $10,000+ bill at closing.
    • The Fix: You need a buyer who understands this liability. At Dabney Real Estate Group, we know how to structure deals to handle rollback risks.

    Worried about Rollback Taxes?

    Don't let complex tax rules stop you from selling. We buy land directly and can help you navigate the Ag Exemption rules.

    Get a cash offer for your land here »

    Other "Silent" Costs of Holding Vacant Land

    It's not just property taxes. If your lot is inside city limits (Waco, Robinson, Bellmead), you are likely paying for:

    • Mowing Liens: If the city has to mow your grass, they charge you a premium (often $150+) and eventually file a lien against the land.
    • Liability Insurance: If someone gets hurt walking on your unfenced lot, you could be liable.
    • Zero Income: Unlike a rental house, vacant land eats cash every month without putting a dime back in your pocket.

    Your 3 Options for 2026

    Option A: Pay and Hold (The 'Long Game')

    If you have plans to build later, pay the taxes before Feb 1st to avoid the 7% fee.

    Option B: List with an Agent (The 'Top Dollar' Gamble)

    You can hire a land specialist to list the property.

    • Pros: You might get full retail value.
    • Cons: You will pay commissions (often 6–10%) and wait 4–9 months in the 2025 market.

    Option C: Sell for Cash (The 'Clean Break')

    If you inherited land you don't use, or if the taxes are piling up, a cash sale is the fastest exit.

    • No Surveys Needed: We often use existing data.
    • No Loan Contingencies: We pay cash, no bank approval needed.
    • Taxes Paid: We handle paying off the county at closing.

    How to Sell Land Fast in McLennan County

    1. Verify your Ag Status: Call the Appraisal District and ask if your Ag Exemption is active.
    2. Check for City Liens: Call Code Enforcement to ensure you don't have outstanding mowing bills.
    3. Get a Cash Offer: Before you commit to a 6-month listing contract, get a baseline cash offer to see what you can walk away with next week.

    Curious what your land is worth?

    Skip the generic online estimators. We know the local Waco market.

    Get your land value assessment

    QCan I sell my land in Texas if I owe back taxes?

    Yes. The delinquent taxes are paid out of the proceeds at closing. You do not need to pay them upfront, but you must sell before the county forecloses.

    QWhat are Rollback Taxes on land in Texas?

    Rollback taxes occur when land with an Agricultural Exemption is changed to a non-agricultural use (like commercial or residential development). The owner may be charged the difference between the lower Ag tax rate and the higher market rate for the previous 3-5 years, plus interest.

    QDoes it take longer to sell land than a house in Waco?

    Generally, yes. Land stays on the market longer because financing is more difficult for buyers to obtain. While homes may sell in 60-90 days, land listings can often take 6 months or longer to sell traditionally.

    Don't let a vacant piece of dirt ruin your credit or drain your bank account. Dabney Real Estate Group specializes in Texas land. We can stop the tax penalties and put a check in your hand.

    Want a cash offer without showings?

    If selling fast is your priority, request a no-obligation offer and we can typically respond within 24 hours.

    Ready to Move Forward?

    We've helped dozens of Texas families through difficult property situations with compassion and fairness.