Title Representative · Indianapolis, IN · Member since 2016 · 64 posts · 41 votes
9y
@Toby Leitzman I was the tax sale specialist for Marion County Tax Sale for numerous years before entering the private sector. I should be able to answer your questions. Generally speaking, do not rely on Assessor's cards for assessed values, drive by the property, bring certified funds in incremental cashier's checks (any left over funds takes 2+ weeks to get returned), remember to pay taxes during redemption period, check municipal liens (demo/repair), determine your exit strategies.
Real Estate Agent · Glendale, AZ · Member since 2017 · 55 posts · 10 votes
9y
@summer
Give them a rent to own option. Don't kick anyone while their down. So that would be a great opportunity to offer them an option where half of their monthly rent goes towards the price of their home. Help them become owners instead of renters.
Real Estate Agent · Glendale, AZ · Member since 2017 · 55 posts · 10 votes
9y
Research properties in sale. Set your self a max bid. Fill out required paperwork before attending. Also, maybe you want to wait until after the tax sale is over so there isn't any competition. What state is this tax sale in? Is it a tax lien or tax deed sale? What's the interest rate for that state? Is it annual or flat rate? For example Arizona has a three year redemption period at 16% annualized penalty. So if your going to a tax sale deed those properties must have gone past their respective states redemption periods or they wouldn't offer up those deeds at a public auction. Also, make sure you run a title search on those properties so make sure no liens are coming with the purchase of the property.
Title Representative · Indianapolis, IN · Member since 2016 · 64 posts · 41 votes
9y
@Toby Leitzman I was the tax sale specialist for Marion County Tax Sale for numerous years before entering the private sector. I should be able to answer your questions. Generally speaking, do not rely on Assessor's cards for assessed values, drive by the property, bring certified funds in incremental cashier's checks (any left over funds takes 2+ weeks to get returned), remember to pay taxes during redemption period, check municipal liens (demo/repair), determine your exit strategies.
Investor · Baltimore, MD · Member since 2008 · 17k+ posts · 13k+ votes
9y
@Toby Leitzman I don't know specifically Indiana law, but make an effort to learn the law. Understand exactly what you bid means. As an example, in MD you are bidding the price you will pay "IF" you foreclose on the property. However you bid also determines you effective interest rate via a complex formula many bidders do not understand.
As @Dustin Haviland mentioned, you need to know the true value of what you are bidding on, not just the tax assessed value.
Understand there are hidden costs, especially if you acquire a property. If you are buying a tax lien, you have the cost of legal fees and catching up all taxes and municipal bills before recording your deed. If it is a tax deed you often have the cost of a quiet title action and the cost of the time it takes to do such.
Title Representative · Indianapolis, IN · Member since 2016 · 64 posts · 41 votes
9y
Marion County and Allen County are the "easiest" counties to purchase Tax Sale Certificates. The county will issue their own noticing and petition the court on your behalf. There is a (1) redemption period, you pay taxes throughout that period and once/if you receive the Tax Sale Deed, you will need to quiet the title which is roughly 5-6 months.
Depending on your expectation, I would absolutely suggest participating in Tax Sale and/or Surplus Sales in Indiana. There is a secondary market for tax certificates to be sold during the redemption period as well. The shortest time frame to obtain a Tax Sale Deed in Indiana is 14 months.
Auburn Hills, MI · Member since 2017 · 2 posts · 0 votes
9y
TAX AUCTION IN MICHIGAN; FIRST TIMER,
I've got a small amount to work with in the upcoming tax auction here. I understand the title searching, could anyone help me out as far as slipping by a lawyer the first time out. Maybe a title search company that can negotiate a reasonable price, if not for free! I know they can be costly too! Of course I want to go in with at least 25 to 30 prospects because I understand that I could be out bid. That's why I'm looking for a better search method also, if anyone can help there too. I do understand that if the title is clouded I'd more than likely would need a lawyer to file the quiet title suit. On the other hand if it had a warranty deed in the name of the person who lost the home, would it still be necessary to do a title search? I'm trying very hard to get this right the first time other than shooting myself in the foot! Or should I seek answers through a title insurance company?
Houston, TX · Member since 2017 · 11 posts · 1 vote
9y
@Dustin Haviland I am interested in tax resales here in TX (tax deed state). I would like to know how demolition/municipal liens are handled. The property I'm looking at has been on the resale list for around 7 years. Is there a limit to the time period in which the county can collect on this lien? My googling suggested there might be the case after 10 years and does that also hold true for other liens state/ federal?
Title Representative · Indianapolis, IN · Member since 2016 · 64 posts · 41 votes
9y
@Robert Johnson I am not very familiar with TX but in Indiana there is a statute of limitation that is 10 years from date of judgment. That being said, there are a few counties in Indiana that believe the demo/municipal liens are a policing practice that does not get removed through Tax Sale or Quiet Title. Tax Warrants disappear after 10 years, IRS liens disappear in Indiana 120 days post notice. Again, I am not experienced in TX so take the above statements with caution.
I am new to investment property and looking to make my first purchase. I have researched houses coming up on auction.com in my area and have also learned about a sheriff’s sale in April. I need a mentor. Would you be willing to guide me and answer my questions? I would even drive to Indy to meet with you.
I noticed that starting bid for these houses are retail value. How do you get a deal if the bid starts there? Why would anyone pay retail at an auction?