Detroit Land Bank vs. Selling to a Private Cash Buyer: What's the Difference?
The Detroit Land Bank Authority and a private cash buyer are very different things. Here's what the Detroit Land Bank actually does, what it doesn't, and how each fits a Detroit homeowner's situation.
I'm a private cash buyer, so I have an obvious interest here. I've tried to describe the Detroit Land Bank Authority accurately from its own published materials, including the parts that don't favor me. Items we could not confirm are marked (not confirmed). Researched October 2026.
The Detroit Land Bank Is Mostly a Seller, Not a Buyer
The Detroit Land Bank Authority (DLBA) is a public authority that holds vacant and foreclosed Detroit property and sells it — through auctions, side lots, and other programs. We found no published Detroit Land Bank program for a homeowner to sell or donate a house to the land bank. If you want to sell your house on your own timeline, a private buyer, a listing, or an investor are the realistic paths. If you want to buy or keep a house in the DLBA's inventory, the Detroit Land Bank's own programs are the place to look.
What the Detroit Land Bank Authority Is
The land bank describes its mission as strengthening Detroit neighborhoods by transforming vacant and abandoned properties into community assets, and calls itself the owner of last resort for vacant, abandoned, and foreclosed property. In a 2025 presentation to the City Planning Commission, the DLBA said it is the largest land bank in the country, that about 45,000 vacant parcels were transferred to it from the City starting in 2014, and that it now holds roughly 4,500 residential structures and 60,000 vacant lots, with more than 50,000 closings since 2014. It also reported that 82% of its 2024 buyers were Detroit residents.
How Property Reaches the Detroit Land Bank
- Tax foreclosureWayne County forecloses on unpaid property taxes. Foreclosed properties are first offered to the State, the City, the County, and other government entities; whatever is not taken goes to the county's September and October auctions. The Detroit Land Bank's portfolio includes foreclosed structures, but we did not find an official page stating exactly how auction-unsold homes move to the land bank, so we do not describe that flow as fact.
- Nuisance abatement lawsuitsThe DLBA's Nuisance Abatement Program sues over vacant, blighted, privately owned properties. If the owner does not fix the blight or settle, the complaint asks the court to transfer title to the Detroit Land Bank. Launched in spring 2014, the program reports over 215 complaints covering more than 4,000 properties (the program page shows no date for those totals).
- DonationsWe found no land bank page describing donations as an acquisition source. (not confirmed)
How the Detroit Land Bank Sells Property
These are programs for buying or keeping DLBA-owned property. They are not programs for selling your house to the Detroit Land Bank.
| Program | What It Is | Key Terms |
|---|---|---|
| Auction | Online bidding on cleaned-out, secured homes with clear title | 8-hour bid window; opens at $1,000; $100 steps; $1,000 nonrefundable deposit (10% down over $10,000) |
| Own It Now | As-is homes, available any time | Offers must meet the land bank minimum; other buyers get 72 hours to counter; deposit $1,000 or 10% |
| Side Lot | Vacant lot next to an occupied home | Street-adjacent owner of an occupied 1–4 unit home, current on taxes; lot 7,500 sq ft or less; $100 |
| Neighborhood Lot | Vacant lot within 500 feet | Principal Residence Exemption required; up to 3 lots per year; 3-year compliance; $250 |
| Community Partner | Discounted access for qualifying nonprofits | 20% off online auctions, 50% off land-based and affordable housing projects; floors $250/lot, $1,000/structure |
| Occupied Buy Back | For people living in DLBA-owned homes | Call (313) 974-6869; vetting, inspection, counseling, four workshops over a year; $1,000 |
| Rehabbed & Ready | Renovated homes listed on the MLS | Terms not confirmed |
Auction and Own It Now buyers must meet eligibility rules: no delinquent Wayne County taxes, no property lost to tax foreclosure (other than a primary residence) in the past three years, no blight or code violations, not in bankruptcy, and compliance on any nuisance-abatement case. Buyers must also rehab and occupy, and the Detroit Land Bank keeps an interest until compliance is complete. Detroit Land Bank FAQ
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Detroit Land Bank vs. a Private Cash Buyer
| Question | Detroit Land Bank (DLBA) | Private Cash Buyer |
|---|---|---|
| Will they buy my house? | No published program to buy or accept a donated occupied home from a homeowner (not confirmed) | Yes — this is what they do, as-is |
| Who is it for? | Buyers and residents seeking Detroit Land Bank-owned property | Owners who want to sell |
| Speed | City says Purchase by Application often takes about four months | Typically days to a few weeks, depending on the buyer and title |
| Condition | As-is, at roughly market value for Purchase by Application | As-is |
| Price you receive | Not applicable (they sell, you would be the buyer) | Usually below retail; the tradeoff is speed, certainty, and no repairs |
| Strings attached | Rehab-and-occupy compliance; land bank retains an interest until met | None beyond the purchase agreement |
They are not really competitors. The DLBA sells property from its inventory; a private cash buyer purchases from owners. If you are an owner who needs to sell, the Detroit Land Bank is not a buyer you can rely on — but if you are trying to keep your home, its Buy Back program and the city's relief programs may matter more.
How County Tax Foreclosure Connects
The Wayne County Treasurer forecloses after the redemption period. Properties go first to government entities under a right of first refusal, and anything not taken is auctioned in September and October. State law does not let the former owner buy the property back at auction for less than the taxes, fees, and interest owed. Former owners can also claim any auction surplus under MCL 211.78t by filing Form 5743 by July 1 after the foreclosure, according to the Wayne County Treasurer.
According to the University of Michigan Poverty Solutions brief, the City's right-of-first-refusal program has, in past years, bought occupied foreclosed homes before auction and passed them to the United Community Housing Coalition, which sold them back to occupants for $1,000; the 2018 figure was 170 homeowners assisted.
For the programs that can help you avoid that outcome, see our Detroit Property Tax Relief Guide.
Official Contact Information
- Detroit Land Bank Authority500 Griswold St, Suite 1200, Detroit, MI 48226 · (313) 974-6869 · property inquiries 1-844-BUY-land bank · buildingdetroit.org. Lobby hours were listed inconsistently (an appointment-only note on one page); confirm before visiting.
- Wayne County Treasurer400 Monroe St, 5th Floor, Detroit, MI 48226 · (313) 224-5990 · taxinfo@waynecountymi.gov
- Detroit Land Bank nuisance abatement reports(313) 880-3653
The Wayne County Land Bank is a separate agency from the DLBA. Do not confuse the two.
Common Mistakes
- Assuming the Detroit Land Bank will buy your house. We found no published program that does.
- Confusing the Detroit Land Bank Authority with the Wayne County Land Bank.
- Waiting for a county auction to happen and assuming you can buy the house back cheaply. State law does not allow it.
- Missing the surplus-proceeds claim deadline after a tax foreclosure.
- Ignoring HOPE and Pay As You Stay, which can erase back taxes for qualifying owners.
Frequently Asked Questions
We found no published land bank program for homeowners to sell or donate a house to the DLBA. Call (313) 974-6869 to ask directly.
A public authority that holds vacant, abandoned, and foreclosed Detroit property and sells it through auctions, side lots, and other programs.
For Purchase by Application, the City says the process often takes about four months and that property is sold as-is at roughly market value.
No. They are separate agencies.
Look at the HOPE program and Wayne County's Pay As You Stay. Our Detroit Property Tax Relief Guide covers both.
Related Detroit Guides
- Selling a House You Bought From the Detroit Land Bank
- Sell Your House in Detroit (main page)
- Detroit Property Tax Relief Guide
- Detroit Tax Foreclosure: What the Public Data Shows
- Michigan Property Tax Hardship Exemption by County
Selling a Detroit House As-Is? Let's Talk.
Dennis Buys Houses purchases Detroit properties as-is. We'll explain how we evaluate the property and what our offer accounts for — and tell you if another option would leave you better off.
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