Sale of real estate tax Lien

The Government collects taxes for a variety of reasons and services including supply to schools, police, roads etc. Governments have been doing this for over 100 years in the u.s. alone and must do so to pay operating expenses. One way to help ensure that they receive these funds in a timely manner is to offer real estate tax lien sales (guarantee certificate) in the case of a property owner to pay their taxes on time. This is not the only form of Government to ensure your collections. They can also offer sales tax deed in which the Government will sell the property taxes for the highest bidder; transforming full possession and duties on winning investors sometimes incredible for a fraction of what the property is worth. (Ever heard of pennies on the dollar deals?).

Real estate lien sales (certificates) and sales tax of Scripture; just short of the guarantees of 100% the Government will get your money in one way or another, which modes very well for investor that one is investing in lien or deed sales. Not all Member States offer one, the other or both at the same time. depends what you declare the property taxes due is situated in.

So lets say your State offers both sales and deed tax lien. Owner of a property that does not pay your taxes on time will have a guarantee (interest) placed on property that has not paid its bill on lean, this is called a warranty certificate.

The Government then will put this warranty for the public auction, sell it to the highest bidder. After you earn you agree to pay the delinquent owners taxes for it, when you do this the Government gets their money they need and you receive a guarantee certificate showing proof of payment more this gives you rights to collect debt one and any interest due delinquent non-payment. This does not confer rights owned by nobody!!

When a delinquent non-payer pays finally your tax bill and over 98% do so because they know if they cannot have their land sold at below them, they will pay the total amount the Government bill delayed due Add more a itional interest on the outstanding amount, which is an interest rate applied worth predetermined by the Government. This interest rate can be 14%, 18% and even 24% or more depending on the specifications!

Now, when the Government collects the payment of tax due more to interest rate, they contact you investor the holding the certificate, you then connect the certificate to your initial investment and the interest penalty for a very good return on their investment.

In a nutshell is because the real estate tax lien sales are one of the key investment opportunities going today and why investor 's don't like to share the wealth.

Stuart j. Miller is passionate with tax lien investing. If what you just read grabbed your attention on the possibilities of investing, go for Estate Tax Lien sales for more information and a complete system to show you how to invest in profitable certificates and tax deeds. In addition to grab these free bonus 3-1) exclusive private invitation to attend a teleseminar, a type-Q & A with lady Tax Lien, 2) using a self-directed IRA to invest in Tax Lien certificates and acts, 3 State Tax Lien Guide) and Scripture invest in each State. Real Estate Tax Lien sales