Can anyone recommend a good tax lien class or any kind of training (preferably online) that is not a gimmick or waste of money? Thanks for your help.
biggerpockets.com forums, search tax liens or tax deeds.
Google the words tax Leins or tax deeds and podcast. If you are interested in a particular state, add that to the search criteria
I know it might seem to be disjointed and time consuming too seek insight be trolling through threads but are so many useful posts on here.
I googled it but so many come up, I wanted to get first hand advice from someone who has taken a good one. I dont mind paying good money for good training and I want the best and most accurate one I can find.
If you're talking about your local area, sit down with a RE attorney that handles tax lien Foreclosures/whatever the process is there. I like working it backwards sometimes....knowing the end result, process and problems....then figuring out the strategy or analyzing the multiple BS strategies/claims that abound regarding the "easy money" in tax liens. Every jurisdiction has a different process.
Im in NH, looking to invest in Florida.
Read the Florida state statutes regarding taxes, and the process. Basically, we don't have tax liens we have tax certificates where you're just lending the money to the county for a bid down interest rate, you get no property rights, and to collect after a minimum 2 years you can send it to a tax deed auction. To do this you have some admin fees plus pay/redeem all the other outstanding tax certificates, and hope the property sells for enough at auction to cover all this. At the auction the certificate holder has no advantage. At the tax deed auction, it's open to everyone and the winning bidder has to go through a quiet title process to verify all lien holders were properly notified. If they weren't, they can reimburse the winner and reclaim the property. QT takes 4-6 months, about $2k. The bidding at these auctions is competitive, and no properties go for "pennies on the dollar".
My limited experiences with tax lien courses and books is they cover basic stuff. It is often Ra Ra motivational, tax liens are great info. The is sometimes misinformation. I often see stuff that says MD offers a 24% interest rate. I don't think they have offered that this century!
There was a thread about tax lien books and I commented and an author replied challenging my comment. She offered to send me a book for review. I never heard back.
The devil is in the details with tax sales. You absolutely need to know the local rules and how they affect your strategy. @Wayne Brooks is dead on here. (He usually is) When I started I took a tax lien attorney to breakfast and got 1 1/2 hours of legal advice for the cost of a breakfast.
I see out of state investors bidding in the Baltimore sale and they will get their clock cleaned! They are bidding based on assessment and don't understand assessments in Baltimore can be off by 400% !
Thank you all for your advice.
Anthony, you stated you are looking into FL liens, which, as @Wayne Brooks says, are certificates, not actual liens. You probably already know that NH municipalities can't sell their liens to private parties.
While the basic concepts can be understood from one of several books on the subject, they are notoriously unreliable for the state specific information. One book I read concluded that Massachusetts didn't have tax lien sales because the author had called all the counties in the state, and they all stated that they didn't sell tax liens. Well, that would be because the taxing authority in MA is the town, not the county, so NO, the county doesn't sell tax liens, the towns do.
In tax lien investing, the laws, rules, customs and nuances of proceedure for the given state are the critical pieces of the puzzle. More important than the overview. And, the proceedure can vary by county, or in MA's case, by town.
Yes, there are lots of hits on BP when you do a search, but there is gold in the forums, if you take the time to dig for it. Honestly, tax lien investing requires lots and lots of due diligence, so if you aren't going to take the time to research on BP, you might consider whether you will take the time to do sufficient research on a specific certificate.
If you determine that Florida is the market you want to pursue, then I would take @Ned Carey 's advice, find a tax lien attorney in that state, and pay them for their time. You'll need him or her anyway if you go to foreclosure, you don't want to do a tax lien foreclosure with any attorney who doesn't specialize in them.
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