Tax Sale Properties With No Auctions, Bidding or Just Waiting
In the beginning, every real estate investor looks at buying tax sale properties as a way to increase their profits or branch into a new field of real estate. There's a lot of misconceptions that lead investors to assume that property for sale is available for pennies on the dollar, free and clear at tax deed and tax lien auctions across the across the country kindom valley Islamabad.
Unfortunately, this is simply not the case.
The problem is that after attending a few auctions , or purchasing a few bonds, the majority of investors are disappointed to find that they are not acquiring homes at the speed they imagined, or paying much more than they were expecting to.
Here's what they frequently come across:
- Tax deed property is offered by competitive bidding and prices are offered at close to the market value. Tax sale properties that are of good quality sell for much, much more than the minimum bid and well beyond "pennies on the dollar".
- They cannot inspect tax sale properties, as they are normally still the owned by the owner up until the sale occurs (and sometimes even after)
- Tax liens take months and several months, or even years for the purpose of facilitating a home purchase. Tax liens usually pay off, leaving the buyer with a small amount of interest, compared to the effort he put into participating in the sale.
- Tax liens require attorneys at various times and adds significant expense to the equation.
So, attending an auction to acquire tax sale properties is not the best way to go.
However, it turns out by making a tiny change to your mindset and you'll find that there is actually an unending source of properties for tax sales that are free and clear, available for only pennies and don't require any legal work. Go straight to the source and the owner who is in danger of losing the property.
By getting an information on the tax deed sale schedule or asking for an inventory of loans that were previously sold and are nearing their redemption period If you want to contact the owners who are currently on the cusp of losing their property.
It is likely that many of these owners have inherited the property or don't want it. This is why they don't pay the taxes. It's also the reason that a majority of these properties are for sale and free of charge. The majority of lenders will redeem properties that are nearing the time of a tax sale to ensure they won't lose the mortgage interest. The remaining properties tend to be there as there's nobody other than the owner who isn't caring to redeem.
It's a matter of concern. You know you can pick these properties every day for a token payment towards the property's owner (or obtain them under agreement and sell them for an investor) and earn hundreds, or even tens, of thousands per deal.
With tax sale properties coming up for their deed sale date or the close of their redemption periods almost every single day, the amount of properties available to explore is nearly endless.
