Tax Lien Investment Club

83 Replies

I bought into the club earlier this year. And I got 2 properties from my assigned contact in Cleveland. I've listed them below in case anyone is familiar with the area and can point me in the right direction for analyzing whether these are worth purchasing. 

Both properties started the redemption period on 9/26/14.

1. 383 eddy, cleveland, OH 44108

2. 3040 E 126th st, cleveland, OH 44120

The estimates I see on zillow, redfin, realtor seem to be all over the map. Both areas seem to have a high foreclosure rate. What should I estimates in terms of costs in terms of different exit plan strategies?  

Hi Anne.

IMHO.....Both these areas are in "war zones'.  I caution you and would never buy in this area.  You will not see any appreciation, actually depreciation, or if renting, you will have tenant after tenant trash and crash.  In other words, they will stop paying after 1 or 2 months, trash your home and it will take a few months to get them out.  This will happen over and over again in this area.  The area does not attract good people.  Sorry to say.

Josh Carr is the Chief Marketing Officer for REI Holdings dba Tax Lien Buyers Club (aka Tax Lien Vault, i.e. Neff Companies -- it's all the same), so of course he's going to tell you it's amazing and you should buy into it.

Don't be fooled by the scam, folks.  A fool and his money are soon parted.

Tax liens interest rates are great -- unless you can't foreclose and collect the interest.  In Ohio, you can collect up to 18% interest, but if the property is too much of an armpit to find a buyer in the foreclosure auction or the property owner doesn't pay off your lien, you've got a certificate with $0 value.  Be careful when you're buying secondary (but really secondarily secondary due to it being sold post county) and do your homework before purchase.  It's worth finding a lawyer that handles this type of litigation to discuss the process.  

Hi looking to partner with someone on an upcoming tax lien deed sale auction in Massachusetts. I am a newbie to this and looking to learn from someone with experience in my first deal.

Please respond or message me 


I am new to tax lien investment world. I am interested in tax lien in Hartford, Connecticut. I appreciate any advices and tips from those that have had purchased tax lien from this area in the past, Don't know if it matters, but the properties that I am interested in are in the area around the zip code of 0613, 0615 and 06114.

if you can also refer me to broker and lawyers that deal with tax liens in Hartford, CT then it will be greatly appreciated as well.

Thanks in advance for your help.

@Richard Murillo A specific book on tax lien laws does not exist. Each state that sells tax liens/certificates has their own laws, and sometimes they can vary by county too. Do an internet search using the keywords like "Arizona tax certificate statutes" then look for the actual state website. Some tax lien gurus have done a good job of search engine optimization and get their website listed above the state websites. You'll have a lot of reading to learn how the process works in each state. 

You also asked for the "states and counties are best to buy". Ask 10 different tax lien or deed investors and you'll get 10 different answers. There is so much to learn that investors tend to specialize in specific areas and learn the best way to navigate for those states/counties/cities.

Determine what your end goal is going to be; 

1) earn a decent rate of interest 

2) end up with the underlying property 

From that decision you look at tax liens/certificate investing for interest or looking at tax deed investing where you end up with the property sooner. In popular areas, the interest rates get bid low or if the rate is fixed and the county allows a premium over the amount owed to be bid, then premiums get high which reduces your return. But there are so many variations on how interest is earned (does the state allow interest earned on premiums or not, is there a penalty rate). If these terms I used are confusing, then prepare to read a lot - and no one book covers it all.

It's a pretty big learning curve and there are many ways it can go wrong if you don't fully understand the statutes - you can't walk through the property, and a host of other pitfalls. Concentrate on one specific area first and you can grow from there.

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