I want you help me to start this activity without problems.
Thanks for your advise.
You are dreaming…this is just as tough, dangerous and competetive as any other real estate investment.
Read my other post to you.
Hi Bill H. - Just getting started in this forum. As a newbie interested in purchasing tax liens or tax deeds can you shed some light on why this investment strategy is just as risky, cumbersome, etc. as other real estate investments. Would love to get your insight.
Thank you.
Beth
Beth,
It would be better if you hired a experience tax deed buyer to go to the tax sale with you to show you the ropes.
I’m interested in replies on this, too. Our annual parish/city tax sale is this week. What could go wrong other than losing the bid?
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Most items that are up for tax sale are not worth more than the taxes.
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You chances of getting a $200,000 house for taxes are about the same as your chances of hitting the mega-million lottery…just over 146,000,000 to 1.
Instead of this luxury house you can get burned out crack houses (try and clean one of these up), swamp land, burned out vacant lots, abandoned and condemmed houses, disputed title situations, drainage ditches, odd little pieces that are totally worthless. I even got a City street and they took it back. This list can go on ad infinitum…and you are still not ahead.
Base you tax lien investments on getting the interest and penalties…NOT… on getting property…otherwise you are dreaming. The late night TV Gurus are selling books and tapes…If is was EASY they would be doing it instead of selling books and tapes on how to do it.
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Once the property matures to you the fun begins. You DO NOT get clean clear title. You must go through quiet title to clear title. This can be expensive and take some time…and…anyone in the chain of title that was not properly notified can show up and most likely the judge will give it back to them.
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Google and read "Jones vs Flowers, SCOTUS. and you will see what I mean.
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I was not properly notified is the most common defense…and…the judges will probably look to the deliquent owner. Courts DO NOT like to take property from people for the simply mistake of not paying the taxes.
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Quiet title starts at about $2,500 so you immediately have a decision. Is this property going to be worth it if I clear title…chances are the answer is NO.
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Go to your local courthouse, ask the law librarian to assist you, get copies of all of your states statutes that pertain to tax liens…Read them…Read Them…Read Them…by now you understand part of the legalese…Learn BEFORE you leap.
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It can be interesting and lucrative if done right…NOT for propety…only for the interest and penalties. Use the bankers rule of 72 to figure out how.
Good Luck,
Bill H
Bill H,
Who told you it take Quiet title starts at about $2,500? We do them all the time for less the $300.
R E Seller, good for you…whatever turns your crank.
Do not know where you are or what you consider as a “Good” quiet title action.
Jones vs Flowers pretty well settled that it must be done completely and correctly.
Yep, I pay about $2,500 for each one that I have done.
I do not relish the thought of being in the court house vault looking up all the owners for the past 60 years, etc. Have better useage for my time.
Cheaper for me to have it done.
Glad you are able to do it for less…hope you do not run into future litigation.
Good Luck.
Bill H
Can you break down what the $2500 go for? Been doing it for over 12 years and no problem.
Major costs are: Attorney fees, Title abstractors, court costs, skip tracing, newspaper publication, etc.
When you hire someone i guess it could cost like that. Our only fee is newspaper publication, and court fee we do the rest in house.
And getting struck by lightning all in one day!
I don’t know about a $200K home for taxes but we got a $120K home for taxes in Texas. The owner never redeem the property.
Real Estate Seller,
How many tax liens have you bought?? You have to admit that it was luck that got you that property...
It was 100% luck on that one. Bought many over the years but the owners always redeem them.
I would rather be lucky then good!