Has anyone used Taxsalepirates.com?

Question

I am new to the Indianapolis market and I met a guy at an IREA meet-up who told me about taxsalepirates.com. Has anyone used their services? Or does anyone know what they specifically offer? Just wondering if anyone has any experience with them!

Ned Carey · Answer

@Joe Smith I don't know this particular group but I am VERY suspect of people promoting tax liens. Most of these groups way oversell the benefits without talking about the risks. Some are out and out crooks.

Now tax liens or deeds can be very profitable. But it is nowhere as easy, or risk free as gurus promoting classes imply. What they often don't tell you is they are sold at auctions and the auctions are very competitive. You can buy liens at face value that are leftover from the auction but usually that is crap that is not worth the back taxes. That is why no one bid on them in the auction.

If you want to do this I suggest you start on a small scale right away. You will learn by doing. Three key things to know.

1) know the rules

2) Know the true as is value of what you are bidding on (not just the tax assessed value listed)

3) Know what you are bidding on. It is easy to bid on the wrong property.

Will Sifert · Answer

That is why it’s important to do your due diligence. You need to know what you are bidding on and you don’t bid on anything that you don’t want to get stuck with.

I have a vacant lot under contract right now for 40k. It cost me about $5500 in taxes and court costs. I picked it up as a tax lien 4 years ago. I have some additional closing costs and commissions to pay since I listed it in the mls but I will make a really nice profit. I love tax liens but I also do an extensive amount of research before the tax sale.

Ned Carey · Answer

@Ray Lin thanks for bringing a dose of reality from actual experience. I do well with tax liens but it is tough for me to recommend them because they are not for the average investor.

On the other hand I can't rehab a property without losing money. Everyone has their own strengths and weaknesses. Matching your strategy to your strengths is as important as which strategy you choose.

Ray Lin · Answer

I have purchased tax liens in KS, MS and NJ and performed extensive research in FL. In my opinion, tax lien and tax deed properties are not worth owning. The properties will be probably be valued around $50k or less. Most of my liens were redeemed and I got paid 18% interest, but I still end up losing in total because the liens that was not redeemed turns out to be worthless homes, probably valued around $10-$20K or less. Those properties needed a lot of work to bring to rentable conditions. Just too much work and too much money involved. Tax liens and deeds may work for you, just not for me.

Ned Carey · Answer

That makes me laugh. Sometimes I buy tax liens just based on the name of the company that owns the property. One I remember was Suckuh LLC. I think it was a wholesaler. Who would do business with someone with a name like that?

My thinking; bogus name = bogus company = better chance to get the property.

Ned Carey · Answer

@Joe Smith my philosophy when starting screen as many properties as I can and bid low so that hopefully I would catch some bargains that fell through the cracks.

Baltimore City's list is 25,000 properties at the start. We drive by as many as we can. In our area the houses are so old condition as much as location makes the main difference in value.

John Underwood · Answer

Does the county not have a detailed spreadsheet? If not see if you can buy GIS data from the county. Then with some excel formulas you can have the spreadsheet filled in for you. This data doesn't change much and can be used for many years. Talk to your county to see what they offer.

Joe Smith · Answer

@Ned Carey

Nice to meet you sir and really good advice. I can completely appreciate what you are saying about tax sale classes. I tried a couple of those and I really didn't learn much. I am looking for a way to weed down the list. It appears every year in Marion County that Indianapolis is situated in auctions 2500 properties. The list only comes out a month before, so I am looking for a spreadsheet company that applies data. I think that is what this taxsalepirates.com might do as it appears from their site, I was just looking for someone that has used them before for data and if the data was up to date as I have tried another company similar but everything they gave me was so out of date that I could not even use it. I hope that makes sense, doing my best to articulate what I am looking for.

Bruce Lynn · Answer

Based on their website, I would probably stay away.  Probably a good idea to stay away from pirates anyway.  Pirates tend to steal your doubloons.

Very rarely do you find someone else who will make you rich.

Don't know them at all.  Could be totally legit.

Joe Smith · Answer

That is funny, doubloons! Nice to meet you, Bruce. I just joined and wasn't sure if anyone would even respond. I was told about this website at the same meeting. I asked about them because there is no purchase button or anything on their site so I thought hey they not trying to charge me anything but I also do not have any experience with tax sales or a tax sale list. Is there anything you know about any of this?

Has anyone used Taxsalepirates.com?

Most Popular Reply