Buying tax liens in Florida???

Question

I just started looking at this subject and already I have seen thousands of ads and discussions about tax liens.  It seems there are dozens of experts (con artists) that will show you how to make millions in tax liens for a small fee. I bet at the end of the class they also have a bridge can can sell me. Can anyone offer some advice were I can research the wright info. or what books I can read. Thanks Hugo.

Wayne Brooks · Answer

I'm with Stephan.  By the way, there are no tax liens sold in Fl.  They sell certificates, which is like liens, where you are essentially lending money to the county, for a certain rate, with repayment dependant upon reimbursement from a tax deed auction if not redeemed by the owner.The rates will generally be less than 5%, and you have the risk of loss, with the lower end properties.  They also auction tax deeds, which transfers title like an auction,  when certificate holders send their certificates to auction.  One other thing is that if you have say a 2010 certificate, after you wait your required two years, then you want to be repaid, not only do you have to pay the fees for the clerk's office to auction the property, you also have to pay off all the certificates that were sold before and after yours, prior to your certificate going to auction.  So, you'll put out about double, or more, of what you originally paid for the certificate when you want to get repaid.  This is one reason it's possible to get "upside down" by just buying one year's tax certificate,  You've got 3 to 4 times  minimum that initial amount you put into it, if you need to go to auction to get repaid.

Hugo, you've got my number, call me any time.

Stefan K. · Answer

@Hugo Gort I invest in FL tax liens.  I've never purchased any guru materials or books.

I started with reading Florida Statute 197.  Once I understood the rules that the counties are supposed to follow, I started Googling the subject extensively.  That's how I first learned about BiggerPockets.  I casually read some forum posts about tax liens from guys like @Ned Carey and others here with a lot of knowledge.  There's a lot of free information out there and a lot of people here who are glad to help, so no need to hand over tons of money.

Once I understood the rules and how everything worked and started researching some available certificates, I quickly realized that the gurus' claims of this being a "risk free investment" and "guaranteed by the government" was extremely misleading.

Also, I've found it to be a lot harder to make some of the higher returns that were once the norm.  Too many large entities have come in and pushed the interest rates way down.

I'd be happy to answer any specific questions you might have (that is if I know the answer).

Account Closed · Answer

Hugo,

I dont know anyone in Florida.

Joe Gore

Account Closed · Answer

BTW im interested in buying in Florida, The closer to Palm Beach County the better. Thanks

Account Closed · Answer

Joe,

I don't want free. I just don't want BS. Do you have a name?????

Account Closed · Answer

When you find a real expert on tax liens, and you want them to teach you the ropes it will not be free.