Tax liens and deeds offer safe returns to investors

Saturday, February 7th, 2009 at 04:25

Thanks for coming back to visit.

Tax liens and deeds attract investors with the promise of excellent returns and extremely low risk. They are secure, government-backed investments with property held as collateral. Liens and deeds are each is auctioned off by the government when property owners fail to pay property taxes.

Lien investors act as debt holders and seek favorable interest rates, while deed investors make their money on the equity split between the deed price and the property value. Most states offer either liens or deeds, but a few states hold attractions for each type of investor.

For a complete list of which states offer liens, deeds or both go to http://taxesandliens.com/state_tax_liens_&_deeds.php

Investors that go for tax deeds have the security of knowing they will either receive an annual return on investment of up to 20 percent (or more) or receive the entire property for what is likely significantly less than market value.

Most states allow delinquent property owners a right of redemption period (most commonly one-year) during which they can redeem the property by paying off their outstanding debt. If this occurs, the tax deed operates much like a tax lien, with the exception that the deed holder must issue a quit claim deed to transfer title back to the property owner.

P.S. Here is the Best Course for Investing In Tax Lien Certificates And Tax Deeds. Audios, Manual, and Resources. Click Here!