Tax Liens Sales

What are some Quick ways of making money like investing in Tax Liens?

I was hearing about how tax liens are a good investment can someone explain and fill me in on how to make money on that? ALSO ANY OTHER WAYS like that

Public Comments

1. You pay off someones late taxes in two years its your providing you paiid the 2 years worth. The owner can pay you then you make simple interest.
2. I hope you have a lot of time and a lot of cash, You must pay the money to the town in advance and then wait for them to fully default. You could wait years and get your initial money back with no gains. Sometimes the properties get held up in court battles for CENTURIES causing you to have to cover steep lawyer fees and court fees. Other times the properties are in such bad shape that they have to be completely rehabbed. One property that I got stuck with had Oil and Chemical contamination and it cost me $60,000 just to have the soil removed and new clean soil brought in.
3. Tax liens can be a very profitable investment, but it is definitely overhyped by the get-rich gurus and it is decidedly not quick. In tax liens you purchase the lein from the county, then sit on it for up to two years. At some point, the owner of the property will pay you for the lein and the interest. So if you can sit on your investment for awhile, you earn great interest. If they don't pay, in two years or so you can spend about $5,000 to foreclose on the property to own it. the Gurus hype the fact that you buy a tax lien and can get a property worth thousands. The problem with that theory is that if a property has $800 on a tax lien and it is worth $200,000 someone will pay the taxes. If it does go to foreclosure it generally turns out to be some gutted, condemned house or useless piece of land with a toxic waste dump on it. The best way to make money depends on how much money you have to invest. To me, the best way is still the old tried and true investment real estate. If you have $20,000, buy real estate cheap, fix it, then refinance it to get your investment out and turn it into a rental that will pay you an income for the rest of your life. Do it again and again. If you have less than $20,000, find some partners and pool your money and resources and do it together until you have enough resources to do it alone.
4. Everyone wants to make money. But tax liens is one of the best ways, not necessarily the quickest way. Now how do you buy tax liens? First, let's realize something, typing up about how to earn money with tax liens requires a book rather than a short answer form. But I'll try to shine the path for you so you know how to get your answers. 1. Tax liens are created when property taxes are not paid. 2. The best states are Illinois, Florida, Arizona, Indiana, etc. They are usually 16% return and above (if you can get the bid). 3. Some counties are putting their tax lien sales online so you don't have to go to a physical location. 4. There are traps in tax liens. You could end up owning a piece of dirt in some cases that's worthless because it's on a toxic dump. Or it could be a swamp land that NO ONE will pay for so you'll never get your money back. Or you will get bankrupt owners or an IRS lien and never get your money back. 5. Or you could get a lot of money much more than stock markets can offer. 6. The easiest way to learn about tax liens is through a video course or through a book. My favorite book on the subject is: Complete Guide to Real Estate Tax Liens and Foreclosure Deeds: Learn in 7 Days [ISBN 0978834682] by Don Sausa There's also web sites available for tax lien research: http://www.InvestingWithoutLosing.com