Hello all. It's been awhile since I've posted. I've taken these months to learn as much as I can and I really believe I'm almost ready to purchase. However I do have a couple of questions and few concern. How do I put a bid in through the state? Also, if the property has been in the state more than 3 years, will I get the deed or just a tax deed? I have more questions that I will ask a little later. Thanks to whomever take the time out to answer my questions. Also if you have any pointers and tips you would like to share please feel free. Thanks again!!
Rental Property Investor · SE Michigan · Member since 2014 · 4k+ posts · 6k+ votes
7y
Be really, really careful.
Tax Lien investing seems less risky because you are often dealing in smaller amounts. However, your tax lien will either pay off big or be worthless. The returns are binary. Also, the processes and procedures can be fairly complex.
@Greg Scoot, what is the biggest thing I should be concerned about when investing? Are you willing to share an experience with me where you or someone you know ended up losing an investment?
@Arnie Abramson, I will be investing in Alabama but I do plan on taking what I learn here elsewhere. How is it in Texas? I read somewhere redemption period is only for a year?
@Jonathon Williams, yes Birmingham Al. I have been craming my brain with as much knowledge as possible. I'm very anxious to purchase my first one but I want to make sure I know all the ins and outs before I make the purchase. Any advice will help!
Thank you all for taking the time out to answer any questions or give advice. It is greatly appreciated!!!
@Jeremy, I use to use bham land bank, now I just ride around in areas where I know there are a lot of abandoned houses. I jot down the addresses and then I go on Jefferson County Tax Assessor website to search the property. I look up all of the information pertaining to the house and I look up the redemption. From there I fill out a application through Alabama Department of Revenue and wait on a price quote to come back. So far I haven't made any purchases. I've applied for a few houses and got back a quotr, but didn't go through with the purchase. I would love to buy and sell and in the future buying to rent out. Thanks for your help.