How the penalties add up
Late taxes in New Castle County grow every month you wait. Here is how the county's penalty works:
| When | Penalty |
|---|---|
| First month late | 6% on county items, 1% on school items |
| Each month after | 1% per month |
Taxes are normally due September 30. Because of the countywide reassessment, 2025 bills were due December 31 instead. For the 2026 due date, check your bill or the county's tax page, since dates can change.
Kent and Sussex counties bill and collect on their own schedules and rules. If your house is downstate, call your county's tax office for the exact penalty on your account.
Code fines can land on your tax bill too
Your tax bill may be bigger than your taxes. Since 2018, New Castle County has added final unpaid code enforcement fees, fines, and abatement costs to the property tax bill. Those charges are collected the same way as taxes.
That means an old grass-cutting charge or a board-up bill can push an account into delinquency, even if you thought your taxes were current. If your bill looks higher than expected, ask the county for an itemized breakdown. Our page on selling a house with code violations explains how those charges start.
How a monition tax sale works
A monition is the court process Delaware counties use to sell a property for unpaid taxes, under 9 Del. C. Ch. 87. The steps look like this:
- The county gets a judgment in Superior Court for the unpaid taxes.
- The sheriff posts the monition on the property.
- Twenty days after the monition is returned, the county can get a writ to sell.
- The property goes to sheriff sale. In New Castle County, sales are held the 2nd Tuesday of each month at 9:00 a.m. at the City/County Building, 800 N. French St., Wilmington, and tax-sale buyers must pay 100% of the price.
- The court confirms the sale.
- The owner can redeem within 60 days after confirmation by paying the purchase price plus 15% and costs.
A tax-sale buyer takes the property free of liens. Kent County holds monition sales quarterly. Schedules and fees change, so confirm details with the Sheriff's office. Our guide to the New Castle County sheriff sale covers the process in depth.
Options before it reaches a sale
The best time to fix a tax problem is before the county files in court. Consider these steps in order:
- Call the tax office. Ask for the exact payoff and whether any payment arrangement is available for your account.
- Check your escrow. If you have a mortgage, your lender may be supposed to pay taxes from escrow. Ask why it did not.
- Look for help. In Wilmington, the Senior Tax Assistance program can help residents 62 and older with up to $3,000 toward property tax or water/sewer delinquencies that threaten foreclosure. A HUD-approved housing counselor (800-569-4287) can review your budget.
- Talk to family. A short-term loan from a relative is often cheaper than months of penalties.
- Sell while you still control the sale. Selling on your terms lets you keep the equity above the tax bill.
Why selling can protect your equity
At a tax sale, the house sells to the highest bidder at auction, and you lose control of the price and timing. When you sell yourself, the unpaid taxes, penalties, and any code charges are paid from your proceeds at closing through a payoff, and the rest is yours.
Here is a simple comparison:
| Monition sale | Selling yourself first | |
|---|---|---|
| Who sets the price | Auction bidders | You and your buyer |
| Timing | Court and sheriff schedule | Your chosen closing date |
| To get it back | Price + 15% + costs within 60 days of confirmation | Not applicable |
| Leftover money | Unclaimed excess goes to the Prothonotary after 90 days | Paid to you at closing |
If the tax problem is one of several, such as a mortgage default or judgments, read our guides on avoiding foreclosure and liens and title problems.
If you also have a mortgage
Unpaid taxes are a problem for your lender too, which can work for or against you. Most mortgages require you to keep property taxes current, because a tax sale can wipe out the lender's lien. If you do not pay, the lender may pay the taxes itself and add the amount to your loan or set up an escrow account, which raises your monthly payment.
That can be a lifeline in the short run, but it can also trigger a default if you cannot afford the new payment. If you are behind on both taxes and your mortgage, call a HUD-approved counselor or the DSHA housing counselor referral line at (888) 363-8808 before things stack up.
If you own the house free and clear, as many older homeowners do, no lender is watching. The tax bill is the only thing between you and a monition, and nobody will step in to pay it for you. That makes it even more important to open every county notice and act on it right away, rather than setting it aside for later.
How Silverside Home Buyers can help
We buy Delaware houses with delinquent taxes and pay the county at settlement, so you do not have to come up with the money first. That applies even when code fees are on the bill or a monition has been posted, as long as the sale has not yet happened.
- A cash offer can close on a timeline that beats the next sheriff sale date.
- If the house has real equity and time allows, Fix & List may net more.
Our cash price will be lower than full market value. We will show you the payoff numbers so you can compare. Call (302) 798-8655 as soon as you get a delinquency notice.
General information, not legal or tax advice.
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Get My Written Offer Call (302) 798-8655Frequently asked questions
What is the penalty for late property taxes in New Castle County?
6% on county items and 1% on school items in the first month, then 1% per month after that.
What is a monition sale in Delaware?
It is a court-ordered sheriff sale of a property for unpaid taxes under 9 Del. C. Ch. 87.
Can I get my house back after a tax sale?
Generally, within 60 days after the court confirms the sale, by paying the purchase price plus 15% and costs.
Why are code fines on my property tax bill?
Since 2018, New Castle County adds final unpaid code fees, fines, and abatement costs to the tax bill.
Can I sell my house if I owe back taxes?
Yes. The taxes and penalties are paid from your proceeds at settlement, as long as the tax sale has not happened.
Is there help for seniors behind on taxes in Wilmington?
Wilmington's Senior Tax Assistance program helps residents 62 and older with up to $3,000 toward tax or water/sewer delinquencies.
Sources
General information, not legal, tax, or financial advice. Laws, fees, and schedules change. Confirm with the office named or your attorney.