subject: Buying A House With Unpaid Taxes Is A Really Smart Investment Move [print this page] Buying A House With Unpaid Taxes Is A Really Smart Investment Move
Sick of the 9-5? Buying a house with unpaid taxes is your key to leaving your job and moving up in the world. Understanding which type of property to invest in is key; if you understand that, you'll be unstoppable. Here's the best way to get a house with unpaid taxes - for as little as $100.
You're probably wondering why it's bad to bid at the tax auction. There are a few concerns. The government sells at auction for a reason - to get the highest price. The bidding ensures you won't get a big discount on anything. It's designed that way. 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. After all that, 95% of the time the owners pay off the taxes in time and you don't get the property anyway.
Does this really affect you? Not at all. You'll be using a much more effective method to buy tax property. Wait until a few months before the end of the redemption period - that's your "hot" zone. The prospect? The tax delinquent owners themselves. Most of the owners that haven't redeemed are owners that don't want the property anymore.
These are the owners you want to focus on. These are often absentee owners that just want the property gone. The deed is worthless to them - so just ask if you can have it! Offer them $200 to sign the documents. Once the deed is signed over, you can then redeem the property and keep it - or sell and let the new buyer pay the taxes.
Use this method of buying a house with unpaid taxes, and you'll have your first $200 property in no time. And there is a huge inventory of tax properties right now.
Want to know the tax sale investors' biggest secret? when more is bid for a property than is owed in taxes, the overage is usually due back to the guy that lost the house. But the owners don't often realize this. They almost never figure it out, because communication is sent to the tax sale address - and they don't live there anymore. And guess what happens next? If they don't collect it in time, the government gets to keep it.
Here's the loophole for you: in most places these funds aren't subject to state finder's fee laws. That means it's legal for you to charge up to 50% to locate and help collect these funds for owners. Since these are real estate overages, they're often for high amounts - which means lots of profits for you.
