Power Through Tax Lien Certificates
There has never been a better time in history for tax lien investing, ask anybody that’s doing it. Given current circumstances, with people failing to pay their taxes and banks having high foreclosure inventories, getting a house from a tax lien investment is much simpler; banks would rather write off a note and release the property than have them on their books.
During a good economy, you can expect to get about a 90% redemption
rate from the home owner. If you consider that nine out of ten people will pay their taxes prior to you, the tax lien holder, gaining ownership to their estate. At this moment, you receive your investment back plus interest. It’s a great worst case scenario, isn’t it?
Fast forward. The year … 2008 The redemption rate in many markets being dropped as low as 50%, the housing crunch begins. This is an amazing turn for Tax Lien investors, we now have a VERY good chance of getting half of the houses we get Tax Liens for.
SUPERB! Before the recent housing crash, I assumed that only 10 to 30 percent of liens I purchased resulted in houses obtained. Consequently I would always search for the highest interest rates. Seemed like the smartest thing I could do with my money. Huge governmentally secured interest rates and a few house. Rapidly It Increased!
But now?For goodness sake!
It appears that I’m acquiring houses from all investments. Now I’m getting huge pay outs from interest rates and obtaining houses. In an auction in Indiana, for example, I bought 6 Tax Liens.
(I love Indiana. Why? Because they have a four month redemption period… that’s right! four months.) To get at least half of them is good for me.
This means half of my Tax Liens will turn into houses that I own free and clear and they cost $2000 at most. No matter how bad the market is I bet I can find a buyer for a house that I can make a profit on by selling it for $1 more than $2000. I’m in a pure profit situation best of all, if my buyer gives me a $2000 down payment on a house.
Rent to Own is your best option. I am sure that millions of people in America would do anything to get a chance with a “rent-to-own” house with me holding the note. There’s no need for a bank! This situation is one of the best reasons to invest in tax liens, rent to own your way to riches! If the Tenant pays off the note, good for them, they get a house for a fantastic deal.
If they don’t pay their note every month, you can put them out and make your house available again. Again, as long as you got enough down payment from the tenant to cover your investment in the house-you are in a total profit situation.
What is about to be revealed is the formula for increasing your revenue flow by acquiring tax lien investments in this troubled economy. Smart investors take advantage of these times by helping people out of their troubles as a moral benefit. There are times in economic history when loans are much harder to get than other times.So there.
Put on your thinking-cap & remember to invest in tax lien certificates, TODAY!
Read timely tips for forex managed accounts – welcome to your personal guide.
P.S. Here is the Best Course for Investing In Tax Lien Certificates And Tax Deeds. Audios, Manual, and Resources. Click Here!
Tags: foreclosure, Forex, Investing, investments, investors, lien holder, redemption, Tax Lien, tax lien, tax lien certificate, tax lien certificates, Tax Lien Investing
But going to the auction is less than half of the time that you will need to spend if you want to invest in purchasing profitable tax liens. Before you even get to the point of going to an auction you must perform some type of due diligence on the properties that are in the tax sale. The listings of properties that you obtain prior to the sale from the tax office, usually do not tell you anything about the property or its condition. Quite often this tax sale list will only give you the tax ID, owner on record and amount owed in back taxes. These list commonly don’t even give you the location of the property – just a parcel or tax ID number!
