(1) The owner of property sold for a delinquent lien, the owner’s legal representative or successor in interest, a person holding a lien on the property by virtue of a judgment, decree, or mortgage, or the owner of a tax lien on the property may redeem the property by paying the finance officer, within one year after the date of the certificate of sale of the property under section 2.544, the purchase price of the property at the sale, 10 percent of that price as penalty, and interest on that price at 10 percent per annum from the date of the certificate. When, however, the redemption takes place within three months after the sale, the penalty is five percent of the purchase price.

(2) A redemption under this section discharges the property redeemed from the effect of the sale. If the redemption is by a lien creditor, the amount paid for the redemption becomes a part of the creditor’s judgment, decree, mortgage, or tax lien, bears interest at the same rate as the judgment, decree, mortgage, or tax lien, and may be enforced and collected as part of the judgment, decree, mortgage, or tax lien.

(3) Within 30 days after property is sold under sections 2.541 to 2.544, the finance officer shall cause notice of the sale to be delivered to the owner or to be sent to the owner by certified mail addressed to the owner at the owner’s address, if known to the finance officer, or, if not so known, to the owner’s address as currently listed in the records of the county assessor. The notice shall state the sale of the property, the purchase price for which it has been sold, and the terms under which it may be redeemed.