If you want to take your bank balance from 0 to 60 in the shortest time possible, real estate is the way you can accomplish that. If you can determine the best homes to buy, the best time to buy them, and how to get them, you’ll be on a fast track to success. Here’s how to get tax property – the right way.
If you’ve heard from other investors about the great deals at tax sale, they may just be trying to thwart you. Deeds are sold to the highest bidder – and this ensures you’ll never pay less than retail value (or close to it). And if you’re tight on cash, that’s something to consider – you’ll have to pay for the property when you buy it, even though you won’t get the deed for a year. It’s futile, even if you do get a deed: the owners have a year to pay off, and usually do.
But that doesn’t mean there aren’t tons of gems waiting to be bought. Wait until a few months before the end of the redemption period – that’s your “hot” zone. The prospect? The tax delinquent owners themselves. Would you believe that most of the owners left at this point have properties they just don’t want anymore? It’s true.
You’ll be able to buy these properties for next to nothing. Many times these properties are ones that were willed to an unhappy heir, that lives somewhere else or just doesn’t want the responsibility. By simply asking if you can have the deed, since they’re letting it go, you’ll be amazed how much property you can get. For their trouble, offer them $200. Now you’ve got a property for $200… will you redeem it, or just sell for immediate profits?
Using this technique will get you as many $200 properties as you like. Now is the right time to take the leap into property investing – the economy has made sure there will be lots for you to buy.
But wait… there’s another big tax sale secret. in most counties, any amount that’s bid over what was owed on the taxes on the house belong to the owner that lost the property. More often than not, the owners don’t understand their legal right to the money. They often never find out, since they don’t live at the tax sale property anymore. After a year or so, if uncollected, the government gets to keep the money and the owner is out of luck.
But all is not lost. Since this money is held at the local level, state money finder laws don’t apply (usually). So if you can find the owners, you can charge up to 50% as a finder’s recovery fee. Since real estate overages are often $10,000 plus, that can mean some really nice checks for you. Click here for more info
