There are so many incredible, creative real estate investing techniques today. All are valid and most are time tested and proven. From foreclosures to notes there are many ways to make money. Our team of investors has been involved with many, if not most, of these creative real estate investing strategies and there is one that we've decided to spend much of our time with. We'll get to that in a second. Some proven creative real estate investing strategies include: foreclosure, pre-foreclosure, REO, lease options, assignments, notes, probates, delinquent tax sales, tax deed sales, etc. The list is endless.
Our favorite real estate investing strategy is tax lien and deed investing through auction and over-the-counter purchasing. There is a big difference between tax lien certificate investing and tax deed investing. We like these strategies because they offer us a very safe, secure, and lucrative investment. A tax lien certificate is a piece of paper sold to investors at the amount owed to the county by the delinquent property owner. The investor buys the certificate for the amount of delinquent taxes and the county promises the amount invested plus a high return back to the investor. This return ranges from 8% to 25% annually. This is a long-term investment. It is a secure investment because the certificate is backed by the real estate for which it is placed. That means that if the property owner doesn't pay the taxes to the county plus the interest then you can take ownership of the property. This is rare.
Tax deed investing is one of the most creative real estate investing strategies we've ever come across. Instead of selling the certificate, the county offers the actual property for sale to investors. The starting price is the amount owed to the county in taxes plus any costs incurred by the county to foreclose on the property. This strategy offers investors the opportunity to buy properties at a very low price.
Tax Lien Certificates are a safer, long-term investment while tax deeds are more creative and aggressive strategy but offer potentially greater returns.
Both strategies require that you have knowledge to be successful. You have to know how to find the properties, research, and purchase. There are certainly pitfalls to avoid as well. A big difference with this real estate strategy opposed to others is that these are done through the county government rather than banks and property owners.
As a member of No Risk Investor we provide tools on this website to help you avoid pitfalls, get easy access to properties, and take advantage of this very creative and lucrative real estate strategy.
No Risk Investor is the ultimate resource and tool for investing in tax liens, tax deeds, and real estate strategies for 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.
Last modified on Monday, 28 June 2010 09:43
Published in
Tax Deed Investing
Tagged under
