City of Jackson has Nearly a Quarter of Mississippi’s Abandoned Properties

One Community Update
September 9, 2024

Source: Magnolia Tribune

Within the state of Mississippi, one city has roughly 25 percent of the state’s total abandoned properties. That municipality is the city of Jackson.

The Capital City’s larger than average percentage of abandoned properties brings with it a number of problems for local officials.

“It would begin with public safety itself, and that’s really one of the key reasons that people choose to abandon their properties and leave is because they don’t feel safe,” said Ward 1 City Councilman Ashby Foote.

A property can become abandoned for a variety of reasons. A homeowner could die or be unable to sell the property after moving away. A bank might foreclose on the owner, or a tenant might vacate the property without another renter ready to move in. If taxes on those properties are not paid for long enough period of time, the properties eventually fall into state ownership until it can be sold.

By the Numbers

According to Tyronne Hickman, Bureau Director of the Public Lands Division of the Secretary of State’s office, as of August 2024, his office listed about 1,800 state-owned abandoned properties within the City of Jackson. Comparatively, statewide there are about 7,000 properties that are state-owned, according to the Secretary of State’s rolls. That equates to close to 25 percent of all abandoned properties under state ownership in Jackson alone.

William (Bill) Chaney, Assistant Secretary of State Public Lands Division, added that the number of properties changes regularly.

“As we actively sell property, it changes,” Chaney described. “I wouldn’t say hourly, but it certainly changes daily.”

However, Councilman Foote notes that those figures do not reflect the true number of abandoned properties in the City of Jackson, or the state, since it can take between two to eight years before they become part of the State’s rolls.

New properties are added twice a year. Counties in the Delta hold tax sales in April. Other counties hold sales in August, according to Chaney. He estimates that for every property on the Secretary of State’s rolls, there are three or four more abandoned properties that have not gone through the tax sale process.

Only a fraction of those properties is commercial, Hickman said, as about 95 percent of abandoned properties are within areas zoned residential.

How Property Falls Under State Ownership

Properties that become temporarily state-owned are recorded by the Secretary of State’s office. The process starts with the owner not paying their property taxes for two years. After legally required attempts to notify the owner have failed, the property goes up for tax sale.

During the tax sale a private party can pay the back taxes and begin the process of assuming ownership of the property. If no private party pays the back taxes, the property falls to state ownership.

“It sits basically in limbo for (the property owner) to come in and pay one or two years of back taxes to get it back,” Chaney described. “So, we’ll get it that third tax sale year.”

Under extreme circumstances, that time frame can be even longer.

“There are those special cases where tax investor ‘A’ might buy it one year, then tax investor ‘B’ might buy it another year, tax investor ‘C’ and then ‘D’, and that could push it out about six to seven years before we get it,” Hickman explained.

The properties are often in a state of serious disrepair by the time they become state-owned. That fact can make some people assume the Secretary of State’s office is to blame.

“It’s not like we ran it down, we got it in a bad shape,” Chaney added. “Usually, people see a piece of bad property, and they just assume it’s ours. Probably 90 percent of the time it’s not.”

Councilman Foote notes that it would be unreasonable for the Secretary of State’s office to be able to maintain such a large number of properties.

 

 

 

For full report, please click the source link above.

x

CEO

Alan Jaffa

Alan Jaffa is the Chief Executive Officer for Safeguard Properties, steering the company as the mortgage field services industry leader. He also serves on the board of advisors for SCG Partners, a middle-market private equity fund focused on diversifying and expanding Safeguard Properties’ business model into complimentary markets.

Alan joined Safeguard in 1995, learning the business from the ground up. He was promoted to Chief Operating Officer in 2002, and was named CEO in May 2010. His hands-on experience has given him unique insights as a leader to innovate, improve and strengthen Safeguard’s processes to assure that the company adheres to the highest standards of quality and customer service.

Under Alan’s leadership, Safeguard has grown significantly with strategies that have included new and expanded services, technology investments that deliver higher quality and greater efficiency to clients, and strategic acquisitions. He takes a team approach to process improvement, involving staff at all levels of the organization to address issues, brainstorm solutions, and identify new and better ways to serve clients.

In 2008, Alan was recognized by Crain’s Cleveland Business in its annual “40-Under-40” profile of young leaders. He also was named a NEO Ernst & Young Entrepreneur Of The Year® Award finalist in 2013.

x

Esq., General Counsel and EVP

Linda Erkkila

Linda Erkkila is the General Counsel and Executive Vice President for Safeguard Properties, with oversight of legal, human resources, training, and compliance. Linda’s broad scope of oversight covers regulatory issues that impact Safeguard’s operations, risk mitigation, strategic planning, human resources and training initiatives, compliance, insurance, litigation and claims management, and counsel related to mergers, acquisition and joint ventures.

Linda assures that Safeguard’s strategic initiatives align with its resources, leverage opportunities across the company, and contemplate compliance mandates. She has practiced law for 25 years and her experience, both as outside and in-house counsel, covers a wide range of corporate matters, including regulatory disclosure, corporate governance compliance, risk assessment, compensation and benefits, litigation management, and mergers and acquisitions.

Linda earned her JD at Cleveland-Marshall College of Law. She holds a degree in economics from Miami University and an MBA. Linda was previously named as both a “Woman of Influence” by HousingWire and as a “Leading Lady” by MReport.

x

COO

Michael Greenbaum

Michael Greenbaum is the Chief Operating Officer of Safeguard Properties, where he has played a pivotal role since joining the company in July 2010. Initially brought on as Vice President of REO, Mike’s exceptional leadership and strategic vision quickly propelled him to Vice President of Operations in 2013, and ultimately to COO in 2015. Over his 14-year tenure at Safeguard, Mike has been instrumental in driving change and fostering innovation within the Property Preservation sector, consistently delivering excellence and becoming a trusted partner to clients and investors.

A distinguished graduate of the United States Military Academy at West Point, Mike earned a degree in Quantitative Economics. Following his graduation, he served in the U.S. Army’s Ordnance Branch, where he specialized in supply chain management. Before his tenure at Safeguard, Mike honed his expertise by managing global supply chains for 13 years, leveraging his military and civilian experience to lead with precision and efficacy.

x

CFO

Joe Iafigliola

Joe Iafigliola is the Chief Financial Officer for Safeguard Properties. Joe is responsible for the Control, Quality Assurance, Business Development, Marketing, Accounting, and Information Security departments. At the core of his responsibilities is the drive to ensure that Safeguard’s focus remains rooted in Customer Service = Resolution. Through his executive leadership role, he actively supports SGPNOW.com, an on-demand service geared towards real estate and property management professionals as well as individual home owners in need of inspection and property preservation services. Joe is also an integral force behind Compliance Connections, a branch of Safeguard Properties that allows code enforcement professionals to report violations at properties that can then be addressed by the Safeguard vendor network. Compliance Connections also researches and shares vacant property ordinance information with Safeguard clients.

Joe has an MBA from The Weatherhead School of Management at Case Western Reserve University, is a Certified Management Accountant (CMA), and holds a bachelor’s degree from The Ohio State University’s Honors Accounting program.

x

Business Development

Carrie Tackett

Business Development Safeguard Properties