Tax Lien Sales Online » Liens

Tax Liens Sold in Other Countries (outside US)?

Tue, 28 Dec 2010 19:41:05 +0000

Question by Katia: Tax Liens Sold in Other Countries (outside US)?
Hello! In the US the states have the power to issue a lien on the property when the owner fails to pay property taxes, the investor then buys the lien which pays interest to them at some predetermined or auction settled rate. In the US there are about 25 states (1/2) that do this. I was wondering, from those of you outside the US, if you had any similar investments?

Best answer:

Answer by Ty H
They have them in Great Britain. The percentage isn’t as good as the USA but they still have it. Haven’t heard of other places with it.

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Know More About Government Tax Liens

Sat, 16 Jan 2010 11:06:14 +0000

Each and every owner of any kind of property is required file property taxes that is applicable to the stat and local governments. The tax will be based on the value of the property that is been owned and also in which state the property has been owned. Sometimes these taxes are referred to as the Real Estate Taxes.

Sometimes there arises some severe condition where the owner of the property will not be able to pay the property taxes that are required to be paid. When this problem arises the owners of the properties become delinquent. Once if the delinquency has been recognized, then the in charge of collecting the property taxes will be upon the appropriate governing authority. Then the appropriate governing authority will collect the tax by tax auction or through tax sales.

All states in the country have their own set of separate laws that are regarded to the course of acts in collecting the delinquent taxes. Most of the times, the local government will be put in charge in this procedure of collecting the taxes. These property taxes that are collected are basically used for the betterment of the local communities. Actually there are 2 types of Government Tax sales that are used; they are Tax Lien Certificates and Tax Deed sales

The local government that is responsible will hold an auction called as Tax Sale for the Delinquent Tax properties. Normally the general bid will be the total sum of the taxes that is owned, any administrative charges and also the interest on the amount that is owed. The bidder who will bid for more at the tax lien auction will be awarded with the deed of the property. Please note that different set of rules are being followed by different states. The rules that are followed by the states will be regarding the restrictions on the possessions and also the time lapse that is required before a person is assigned with the absolute deeds.

The tax lien certificates will also be valued and auctioned at the amount of taxes that owed along with the interest and administrative charges, but this is the place where all the similarities will come to an end. In the cases Tax Lien Certificates, there will not be any transfer of the property deeds during the time of auction. Once if all these tax lien certificates are sold out, then the delinquent tax payer have to pay back the lien amount plus the interest charges that is occurred. Normally, about 16% to 18% will be paid back to the certificate owner.

In case if the delinquent tax payer fails due to pay the amount due to some reasons within the stipulated time that is fixed by the governing authority, then the tax lien certificate owner cane be awarded with the deed of the property only after the foreclosing on the lien in proper manner. So get to know prior information on tax liens, tax lien auctions, government tax liens and much more.

Do you need complete government listings for sales of liens, Tax lien auction, government tax liens, government tax sale properties and make profit from tax sales? Log on to http://www.taxsalelists.com and get all the useful information.

Investing in Tax Liens: What if I’m in a Deed State?

Wed, 06 Jan 2010 12:57:06 +0000

Frequently I get asked this question: “I really want to start investing in tax liens, but I live in a deed state. Should I look into investing in tax liens in another state, or try to invest in tax deeds in my own state.” In this article I’ll give you what I recommend for investors want to invest in tax liens, but find that in their state they only sell tax deeds. It’s not a one-size fits all answer, it really depends on what your goals are and on your particular state.You really have two options, either find a way to invest profitably in your state, or look at some of the online tax lien sales; you may even want to do both. First, find out what goes on in your state. Are there many deed sales? How often are the tax sales? How many properties are available and how competitive are they? You will actually have to go to some tax sales and see what they are like.Some states just don’t have very much available, if that’s the case; you may want to try the online tax lien sales. Other states may be very competitive and properties may get bid close to market value. If that’s the case there is still a way that you may be able to profit from tax deed sales in your state. Some counties give the excess proceeds – that’s the amount that’s bid in excess of the minimum bid amount, back to the owner of the property. Here’s how the excess proceeds strategy works in a nutshell. Instead of waiting for the tax sale you contact the owner of the property before the sale and see if they are going to let their property go for back taxes. If they have already decided to walk away from the property, perhaps they would be willing to give you a quitclaim deed to their property for a small fee. You record the deed with the county clerk a few weeks before the tax sale. Let the property go to tax sale and after it is sold you apply for the excess proceeds. This strategy only works in a few deed states that give the excess proceeds back to the owner of the property – not all deed states do this. So before you try this strategy check with the county tax collector or county treasurer and make sure that the owner of record of the tax delinquent property can apply for the excess proceeds from the sale. Also you do have to check for any other liens, since you are buying the property from the owner and not purchasing the deed at the tax sale, you will be held responsible for any other liens on the property.

Joanne Musa is a tax lien and tax deed investing expert who helps investors buy profitable tax lien certificates and tax deeds. You can find out more about the excess proceeds strategy of tax deed investing and get a Free mini-course at http://www.TaxForeclosureFortunes.com.

Buying Tax Liens Online

Sun, 03 Jan 2010 15:16:48 +0000

What if you are really interested in buying tax liens, but you don?t live in a state that has tax lien sales, and you don?t live within driving distance of a state that does sell tax liens? One alternative to buying tax liens at a physical auction is to participate in the online tax sales. Only a few states have tax lien sales online, but fortunately each state that does have online tax sales conducts their sale at a different time of the year. So you can participate in an online tax lien sale somewhere in the United States in almost any season of the year.There are only 5 states that have tax sales online; they are Arizona, Colorado, Florida, Indiana, and Maryland. Even in those states, not all counties have online tax sales. You can find a list of these counties with links to the tax sale websites, and other details about their tax sales in my ?Guide to Buying Tax Liens Online? on the members area of TaxLienLady.com. The online tax sales are very different in each state, but they do have a few things in common.You need to register for online tax sales days or in some counties weeks ahead of the actual sale. You register for the tax sale and bid on the properties online. You are not actually bidding on the property, but on the tax lien certificate that is being auctioned. These sales usually require a deposit, and some of them have a non-refundable registration fee. Payment for the liens that you are successful bidding on is required within a day or two of the close of the tax sale for tax sales that use wire transfers as the method of payment. For tax sales that use ACH Debit as the method of payment for tax liens, you usually have to pay the day of the close of the tax sale. For these tax sales, you agree before hand to allow the county treasurer to debit your account for the tax liens that you purchase.These counties make it easy for you to register and bid online. The hardest part of buying tax liens online is doing your due diligence for the tax sale properties. Unless you purchase a tax sale list from a tax sale list provider, or in some cases from the county, you don?t always get to see the list of properties that are in the tax sale. Instead the properties are listed individually or in batches by an id number and you have to click on the property number to get the rest of the information on the property. For some counties there is very little information given about the property. This is where buying a detailed or enhanced list, with all of the assessment information for the property can me very helpful.

Joanne Musa works with people who want to build an extremely profitable portfolio of tax lien certificates or tax deeds FAST. You can find out more about buying tax liens online in my Guide to Buying Tax Liens Online. It?s a free bonus for you when you try the members area of TaxLienLady.com. To find out more about the extra bonuses that you get when you try the members area of TaxLienLady.com go to www.TaxLienLady.com/Membership.htm.

Tax Liens vs Tax Deeds

Sun, 13 Dec 2009 10:55:34 +0000

Tax sale jargon can be extremely confusing. There are tax lien sales and tax deed sales. As if that wasn’t confusing enough, there are also hybrid sales called redeemable deed sales. Once you understand the differences, you can wade through this goldmine and make huge profits!

Tax liens are simply a lien on the property. From the homeowner’s perspective, you are simply a creditor, much like the mortgage company. Mortgages and liens are in what are called “positions.” The big loan that you got when you bought your house is the first mortgage, and usually has a very low interest rate. If you did an equity line or borrowed additional funds, then you also have a second mortgage. Second mortgages are always at a higher rate than the first mortgage because the lender takes more risk. In the event of foreclosure, the lienholders are paid off in the order of position, which means that the first mortgage holder is paid before the second mortgage holder.

So, what does this have to do with tax liens? The position of tax liens is even higher than mortgages. If the homeowner refinances, the tax lien must be paid. If the homeowner sells, the tax lien must be paid.

If you foreclose on your tax lien and the mortgage company does not pay off your lien, then you could wipe out the mortgage and own the property free and clear! Isn’t that great! On top of that, you are making an interest rate that is much higher (as much as 24%) than what the mortgage company is collecting.

Now that you understand the basics of tax liens, let’s review tax deeds. In the case of the tax deed, the county simply holds the lien for several years and does its own foreclosure. Then, they hold an auction and you buy the property. It’s very similar to a traditional mortgage foreclosure auction.

The third type of tax sale is called a redeemable deed sale. The most notorious redeemable deed state is Texas. In Texas, the investor buys the property at the tax sale, but the homeowner has a specified period of time (six months to two years, depending on the type of property) to buy back, or “redeem” their property. In the meantime, the investor can take possession of the property and even rent it out. In the event of a redemption, the investor gets a very nice 25% annual rate on their investment in Texas.

As you can see, tax liens and deeds vary greatly by state. Before making any kind of investment like this, proper research of state and local regulations is essential. With the proper tools, a massive goldmine awaits.

Carlos Scarpero is an experienced real estate investor who specializes in land. On his blog at http://www.scarpero.com/real_estate, he discusses innovative and creative real estate strategies to make your real estate investing more profitable.