Detroit City Council is calling on Wayne County Treasurer Eric Sabree to seek a moratorium on property tax foreclosures for owner-occupied homes.
In a resolution spearheaded by Detroit Council Member Latisha Johnson, the council stresses its duty to protect the health and safety of Detroiters. Residents trying to maintain homeownership have often presented the council with hardships that have impacted their ability to pay delinquent taxes, which has “placed many residents in peril of losing their homes,” it reads.
Although the treasurer is required by law to institute forfeiture proceedings on tax delinquent properties, the council is urging Sabree to seek a moratorium from the Legislature.
“The Detroit City Council recognizes that the Wayne County Treasurer is obligated to follow state law in pursuing delinquent property taxes through foreclosure but further recognizes the impact such foreclosure of occupied homes has on the increased population of unhoused persons,” the resolution states. “The Wayne County Treasurer as a foreclosing governmental unit is in a unique position to advocate to the state Legislature for a moratorium on property tax foreclosures for owner-occupied homes.”
In a Thursday statement to BridgeDetroit, Sabree’s office called the council’s resolution “political theatre,” noting that the city’s high property tax rate is the largest barrier to residents facing foreclosure. When homeowners are unable to pay, delinquent taxes are sent to the treasurer’s office for collection.
Sabree’s office, the statement adds, remains committed to helping residents facing foreclosure, especially owner-occupants, stay in their homes.
“The Treasurer urges City Council to focus on addressing the root issue—high property tax rates—and to take meaningful action before delinquent taxes are turned over for collection.”
Sabree and his office have been stepping up efforts for weeks to educate property owners about the upcoming March 31 deadline to enroll in a taxpayer assistance payment plan to avoid the risk of foreclosure.
“If you haven’t paid 2023 taxes or prior, you are in danger of foreclosure,” Sabree said in a social media post this month, reminding residents of the deadline. “Don’t delay, don’t procrastinate, don’t wait until the last minute. Call us right now.”
Tax foreclosure is the process by which homeowners lose their property because they didn’t pay their property taxes for three years. The properties are then put up for sale at two public auctions in the fall.
Sabree said residents can call (313) 224-5990 or visit WayneCountyMi.gov/Treasurer.
Wayne County is promoting three programs to help residents retain their homes:
Stipulated Payment Agreement (REGSPA): For taxpayers who qualify, the offering provides a structured agreement to repay delinquent property taxes over time. The program is designed for people who owe back taxes and need a manageable plan.
Distressed Owner/Occupant Extension (DOOE): For owner-occupants facing financial hardship, DOOE gives additional time to resolve delinquent taxes while residents work to remain in their homes.
Interest Reduction Stipulated Payment Agreement (IRSPA): IRSPA offers eligible taxpayers a payment plan that may include reduced interest charges, easing the overall cost of repaying delinquent taxes.