Every state provides excellent opportunity to make money in tax lien certificates and tax deed properties but there are a few that stand out; one of which is Arizona. Arizona has always been one of the greatest places to invest in tax lien properties.  There are a few things that every investor should consider before spending too much time in any given state or county: Accessibility Cooperation/Helpfulness Rate of Return How accessible are the tax lien lists or properties?  Do they provide tax lien certificate lists on their website or do you have to go to the county and search ancient records?  Are the lists only available in the local newspaper a week before the auction?  These are all things to consider when thinking about counties and whether to pursue tax liens in that specific area. How helpful are the county workers or their system?  I would rather not work with a county worker if I do not have to.  I am just that type of guy, I guess.  If they have a great website where all the information I need is listed then that county gets an A+ for helpfulness.  If I have to speak with a county worker with any question or request and they are slow to help or hardly know the correct answers then they do not get a good score. And, of course, the rate of return is pretty important.  This is pretty straight forward.  One thing to consider, though, is if the county has terrible accessibility and helpfulness then a good rate of return may not be worth the trouble.  Who knows?  Maybe it is.  That is up to you.  I am the type of investor to just move on.  There are too many states, too many counties, and way too many tax lien properties to bother with the little stuff. Arizona is a wonderful place to invest in tax lien certificates.  (It is also a great place for tax deed properties.  Few people know that there are pockets where deeds are available.  We show some of those lists in the Marketplace.)  I have visited county buildings where the workers will spend all the time necessary to make sure you know what you are doing and how things work there.  By phone, they are fabulous as well.  Even better than that is most counties have all the information available online.  That allows me to sit at home in my unders, research, and invest. Investing in Arizona also rewards investors with a high rate of return at 16%.  Not bad.  That is probably much better than anything else you could find right now. There is opportunity everywhere.  I always tell people to start in their home area.  You always have an advantage in your home area.  But when you decide to venture out, Arizona is not half bad. 0 false 18 pt 18 pt 0 0 false false false No Risk Investor is the ultimate resource and tool for Tax Lien Properties, deed, and real estate investors all over the world.  No Risk Investor takes incredible pride in its ability to help students take action, get into properties, and begin the journey to financial freedom.  No Risk Investor provides county lists, property lists, online auction lists, comprehensive training and education, an auction calendar, and online auction center, an investor community and much more for its members.

Every property owner and home owner across the Nation is required to pay property taxes. You would be surprised to learn how often those taxes are not paid. When those property taxes are not paid the county assesses fees and penalties to the property owner. The county also gives the property owner a period to pay those delinquent taxes. If those property taxes are not paid during the allotted time period then our opportunity to take action at tax deed sales comes into play. During the tax deed sales the tax deed properties are sold for the delinquent tax amount plus any penalties, court costs and interest accrued by the county. Even including all of those fees, the delinquent tax amount, and interest the base price of the property is usually a small portion of the fair market value of the real estate property. Before the tax deed sale the county is required to make a public announcement about the sale of each real estate property. This is often done through the newspaper or postings in the county building. At the tax deed sale the winning bidder/tax deed investor becomes the new owner of the property which is free and clear of all mortgages, liens, and any other encumbrances. To find county tax deed lists contact the county or organization that handles the tax deed sales. Or you can search the lists available here on No Risk Investor. That is much easier than contacting every county. About half of the United States sell tax deeds while the other half sell tax lien certificates. The bargains available to tax deed investors can be beyond incredible! If you’re a member of this website you can view properties in the Marketplace that show what incredible deals you can get on these properties. 0 false 18 pt 18 pt 0 0 false false false No Risk Investor is the ultimate resource and tool for Tax Lien Properties, tax deed, and real estate investors all over the world.  No Risk Investor takes incredible pride in its ability to help students take action, get into properties, and begin the journey to financial freedom.  No Risk Investor provides county lists, property lists, online auction lists, comprehensive training and education, an auction calendar, and online auction center, an investor community and much more for its members.

This blog may be a bit scary for many readers but let me give a quick preface. Auctions and tax deed properties are incredible investments but it’s crucial to know what you’re doing. That’s what we’re all about, making sure you’re informed to take action and make money. Tax deed sales can be an incredible opportunity to buy tax deed properties for pennies on the dollar but there are a few things to watch out for before attending. For example, in many states when you purchase a tax deed property you own the property free and clear while in other states the property may not be completely free of all encumbrances. Let’s look at the worst example I could find. Pennsylvania can be one of the most fabulous places to invest. They are generally very easy to work with and make the investing process pretty pleasant. There are a few different ways you can buy tax deed properties at tax deed sales in Pennsylvania; three of which are called repository, judicial, and upset sales. The upset auctions are the bad example I’m referring to. The rules regarding a property sold at an upset sale are that all other liens remain intact on the deed. Ouch… that means if you buys a property with other liens, mortgages, etc., then you are responsible for them. If you buy one of these properties then you made one of two mistakes: The first mistake made in buying this property at the upset tax deed sale is that you probably didn’t completely understand the rules of the state and county. As mentioned in my last blog about tax deed sales it’s crucial to contact the county and learn their specific procedures and rules before attending and purchasing Tax Deed Properties. This is one of those details that you should look out for. “Are the properties sold at this auction free and clear of all encumbrances and liens..?” This may be a blanket “Yes” or “No” answer or a “Maybe” which leads to the next error. If you bought a property at a tax deed sale that has encumbrances and liens that you are responsible for, then chances are you didn’t do the necessary due diligence on that property. When you research a property not only are you looking at property type, values, etc., but you’re looking for potential liens and encumbrances that you may be responsible for. Once you find this you are a more informed investor. The property may only have a mechanic’s lien valued at $50 and you will make $10,000 on the deal so it’s still a good investment. Or the property may have a mortgage you’re responsible for worth $50,000 and you’re set to make $10,000. One situation is good and the other is not so good. The moral of the story is this: tax deed investing is an awesome opportunity. There are pitfalls in certain areas but they can be easily avoided with the proper help and knowledge. That’s what No Risk Investor is all about: taking the RISK OUT OF INVESTING! That includes investing in Pennsylvania. Don’t be afraid, be happy that you just learned about potential pitfalls in upset auctions in Pennsylvania. 0 false 18 pt 18 pt 0 0 false false false No Risk Investor is the ultimate resource and tool for Tax Lien Properties, deed, and real estate investors all over the world.  No Risk Investor takes incredible pride in its ability to help students take action, get into properties, and begin the journey to financial freedom.  No Risk Investor provides county lists, property lists, online auction lists, comprehensive training and education, an auction calendar, and online auction center, an investor community and much more for its members.

0 false 18 pt 18 pt 0 0 false false false Tax Lien Investing are one of this country's most secure and lucrative investment strategies.  This is so because the state mandates the rate of return and the tax lien certificates is backed by the real estate for which the tax lien was placed.  The rate of return is also quite high; 8% APR on the low side and 25% APR on the high side. There are a couple ways the rate of return is paid on your tax sale properties and many new investors don't understand the difference or what it means for their tax lien investment. Most states pay an annual interest rate while some other states pay a flat penalty fee toward your tax lien certificate.  Let's talk about the difference. Annual Rate of Return If you buy a tax lien for $1,000 with a 16% annual interest rate then each month you would receive 1.33% on your money or $10.  If the property owner redeems any time during the 6th month of the year then you would receive a check from the county for your original $1,000 plus the accrued interest to that point (1.33% x 1,000 x 6 = $80). One thing to remember is that you will receive the full month's interest at any point during the month, no matter if it's the first day of the month or the last day. If the property owner redeems during the final month of the year then the tax lien investor would receive 16% on their money equaling $160. Flat Penalty Fee If you buy a tax lien for $1,000 with a 16% penalty then you would receive a flat 16% when the property owner redeems anytime during the redemption period.  The tax lien investor would receive 16% or $160 anytime during the redemption period; no matter if the property owner redeems the day after the tax lien was bought or the final day of the redemption period. Penalty fees are very powerful because if you were to calculate the penalty like an annual rate of return then your rate of return is much bigger than a normal annually accruing rate of return.  The only way you would receive 16% is if the property owner redeemed the final day of the year.  Otherwise, your rate of return is much greater.  For example, if they redeemed the final day of the first month of the year then your rate of return would be 494%.  Nice! Make sure to check with the county before investing to know whether they pay an annual rate of return or a flat penalty. No Risk Investor is the ultimate resource and tool for tax liens, deed, and real estate investors all over the world.  No Risk Investor takes incredible pride in its ability to help students take action, get into properties, and begin the journey to financial freedom.  No Risk Investor provides county lists, property lists, online auction lists, comprehensive training and education, an auction calendar, and online auction center, an investor community and much more for its members.

0 false 18 pt 18 pt 0 0 false false false You'll hear it over and over, from us and every other tax lien or deed investor that you meet, the rules and procedures for buying tax lien properties and tax deeds differ from state to state and even county-to-county.  Let's go over some of the ways that they differ. (Remember, we go over each state in great detail in the Reference Guide in the Full Course as well as under each state when downloading lists here on No Risk Investor.  Both resources are available to Pro members.) Auction procedures are different in every state. When you're looking to purchase tax lien properties or tax deeds at the auction it's important to check the state's procedures.  One thing you can count on is every state will require a W-9 form before you purchase a property.  That's about the only constant from state to state.  Some auctions you bid a premium on the property which means you bid up the actual price of the property.  In California, in the past, tax deed sales have been very competitive and the price is bid back to fair market value and higher.  In other states you bid down the percentage rate that you will receive on your money.  If two or more investors want the same tax lien certificate then each will have a turn to bid down the interest rate they are willing to receive.  In some states you even bid down the percentage of ownership.  Weird...  This is rare.  Check your state and county before attending the tax deed sales or tax lien certificate auction to learn the specific procedures.  You can also check the materials if you're a No Risk Investor member. In many states it's not always necessary to attend the auction to buy tax lien certificates or tax deed properties. There are a few states that require your presence when buying tax lien certificates and tax deed properties.  But that is more rare than the alternative; having the opportunity to buy tax lien properties outside the auction.  When a county holds an auction it's not very common for every tax lien certificate to be sold.  The county still needs the money for that tax lien certificate so they will often allow investors to buy those tax lien properties "over-the-counter."  You simply contact the county to get a list of available properties left over from their most recent auction, research, then purchase.  You can also get over-the-counter lists here on the website. There are many consistencies in tax lien auctions and tax deed sales, such as registration and payment.  In order to attend the auction most counties require that you register, including the W-9 as mentioned above, and they require you to pay any associated fees.  Often times the fee is a refundable deposit or is used towards any purchases made at the auction.  If you end up buying a property or certificate then you are usually required to pay that same day or within 24 hours.  If you don't then you won't be allowed back again and you will lose your deposit. Make sure to check the rules before attending.  Auctions can be an incredible way to invest.  They may be intimidating the first couple times but can make for very profitable investing. No Risk Investor is the ultimate resource and tool for Tax Lien Properties, deed, and real estate investors all over the world.  No Risk Investor takes incredible pride in its ability to help students take action, get into properties, and begin the journey to financial freedom.  No Risk Investor provides county lists, property lists, online auction lists, comprehensive training and education, an auction calendar, and online auction center, an investor community and much more for its members.