government tax foreclosure homes – Where to Find Government Tax Foreclosures
Web sites that internet searches lead you to are good resources to find information about government tax foreclosures. One such site, foreclosurel istings, offers information about available properties across the country. Internet listings are typically updated regularly so chances are high that you will have access to the most recent information. This web site provides photos of the property, the listing amount, and details such as how many bedrooms and baths are included and what type of property it is. You can sign-up for a seven-day trial for only $3.95. After the trial period, if the web site has provided you with sufficient information that is helpful to you, options for continuing a subscription to this service include being billed a monthly fee of $39.95, or a six-month option that will save you money at $99.00 (which is only $16.50 per month).
Another web site that can be helpful to you in finding a list of tax foreclosures owned by the government is government auctions. This web site can give you access to detailed information all in one place that otherwise might take you many hours of running around to gather from different sources. You must register and pay an annual fee of $39.95 to have unlimited access to this web site.
Small investment, high profit
Your investment in a tax-foreclosed government property is typically very small and, in comparison, the returns on your money can be very high and profitable. As we all know, government agencies need tax dollars to operate. Properties that have fallen behind in their tax payments owed to the government are given top priority by the court system to be sold, so the tax monies can be distributed to the government office that needs the funds to operate.
Other sources for listings
You can also find a listing of government tax foreclosures from a local real estate agent. Real estate agents can be wonderful sources of knowledge about tax foreclosure properties for sale, as well as being efficient in handling the processes needed to complete the sale transaction. Real estate agents know the rules and regulations that are specific to their county and/or state that you must adhere to in order to have a successful transaction.
Foreclosed government tax properties can also be listed in newspapers as they are a matter of public record. The County Clerk?s office at the local County Courthouse should also have a record of properties that have been foreclosed for non-payment of taxes.
Government tax foreclosures are very much worth your while to investigate. They can produce a solid return on your investment and they have priority over other foreclosed properties in the speed of listing and resulting transaction. This type of tax foreclosure is much easier to access and process than other forms of foreclosure.
Tax lien certificates can make a great investment. If you are not familiar with tax lien certificates, then see my article entitled "An Introduction To Tax Lien Certificates."
Many people want to invest in tax lien certificates but stop themselves because they think that they need to go to the live auction to do it. Yes, it's entirely true. The most common place to invest in tax lien certificates is at the live annual auction. The auction varies by state and even county, so check with your local county tax collector to see when they have their auction.
Can I let you in on a little secret? I have been investing in tax liens for several years now and have NEVER been to a live auction. How can that be, you ask? Easy! I invest in Over The Counter certificates (OTC).
So, what is an OTC certificate and how can you profit from it? An Over The Counter certificate is one that did not sell at the live auction. In many states, when the certificate does not sell, it is "struck off" to the county. The county simply has a list in their office and you just call them up and get it. Then, you do some research, pick out the ones you want and get the lien without any traveling or hassles.
Just because you can buy tax certificates Over The Counter, should you? Well, maybe and maybe not. Remember that in most cases, Over The Counter certificates are liens that did not sell at the regular tax sale. So, there are some precautions that you should take to make sure that you are getting a good deal.
First of all, start with counties that have websites. Luckily, nowadays it is very easy to find a county with a good property research website. Then, you simply enter the parcel number into the website and it will tell you what is there, and how much it's worth. Ideally, you want to find properties that have a structure already on them, but it's not always easy to find.
Next, you need to see the total taxes due from all years and compare that to the tax valuation. The reason you need to know this is that in the event of a foreclosure, you will need to pay off all the back taxes. The worst thing is to find out that there are more due in back taxes than the property is worth.
Once, you find that out, then copy down the legal description and call the local Realtor. Tell them that you are planning on investing in a certain property and may eventually need their services to resell it. I have never had a Realtor not give me an honest opinion of an area. Many times, they tell me NOT TO BUY there and that's ok too. It's better to find out now than to find out when it's too late.
And there you have it! With proper planning, you too can be an armchair investor.
About The Author
Carlos Scarpero is an experienced real estate investor who specializes in tax liens and deeds. Visit his tax lien and deed blog at http://www.scarpero.com/real_estate.
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