Category View (Tax Lien Investing)

In my last post What is a Tax Lien Sale? I discussed what they were and how to earn money investing in tax liens.  Today we are going to review some of the issues real estate investors should be aware of if they are considering this type of investment. Tax liens are illiquid.  They must be held until they are repaid or the lien holder takes the action to foreclose.  While tax liens can be transferred to another party, they cannot be cashed in.   If the real estate investor does end up acquiring the deed to the property, they also acquire any problems more...

Tax lien sales are becoming more popular as unpaid real estate taxes continue to pile up and the general public becomes more familiar with tax lien investments. In the United States, 29 state (plus DC, Puerto Rico & USVI) tax collectors use tax lien sales to force owners to pay their unpaid property taxes.  But, here's the catch...you're not bidding on the property itself.  You are actually bidding on the unpaid property taxes.  If you are the winning bidder, you become the proud owner of an official property tax lien. Depending on the individual state law, it can take anywhere from a few more...

All we keep hearing about these days is gloom and doom due to the record number of foreclosures in this country. Ever wonder if anyone is making money during these trying times? The answer is a resounding YES! I know guys who predicted these days were coming and made hundreds of millions “shorting” the market with the hedge funds they run. If you know anything about the dice game called craps, then you are familiar with the “don’t pass” line on the table. It’s an unpopular bet at the gaming tables because you win when everyone else loses. You must be visibly pulling for the table’s good more...