I just looked at LA Co. property tax sales, every property listed sold and always well over the amount listed.
Looking at San Bernardino, the property address are not listed but thanks to google, I can get an idea of where the property is and what kind of property is being offered. But, again, the properties are going for well over the asking bids. Not to mislead, I know the inherent purpose of an auction is to invite the endemic competitive nature of investors and exploit it; ergo, benefiting the county.
When I was at the Expo, in Long Beach, this past week there was a speaker, and he spoke on tax deed's and liens. He went on and on, how we could get 16%-36% ROI and how his team are cracked experts, experienced, they know how to find the "good ones" and, how its guaranteed safe, safe as newborn tucked in under his mothers bosom (my words not his); you get the point.
So, after about an hour of this he went in for the kill. So folks I have give you this, well only 35 of you, this information and lifelong membership/leadership for a 1 time fee of $1497 cash here today, not tomorrow, not next week, now! Lo, if you wait until tomorrow the deal is off and it will be $1497 a year. To add even more insult to injury the guy twisted the knife when he said, the regular price for mentorship is $29.99 a month. WOW!
So, thats $1497+$30, just to get started and you haven't purchased one deed yet. The deeds he stated can be as inexpensive as $100 or $1 million, all depending on the property, and your locked into the deed for a minimum of a year.
After it all, he had a least 50-75 people clamoring up there to be one of the lucky 35, I walked the other way. Struck up a conversation with a real estate agent who was there for another purpose. The first thing the agent said was, who the hell is that guy and he's not even licensed, where is he accountability, he's accountable to no one.
Now, I do understand that the agent might be prejudiced by the fact that he is a licensed professionals and has a code of ethics and is bound by a responsibility, fiduciary and or other, i.e. conscience; So, his opinions is skewed; notwithstanding, who is this guy you are giving $1500 bucks, you just met him at a seminar and before you do any due diligence?
So, if anyone had any success in Southern California, or anywhere in recent years, with property tax lien sales? If so, lets talk. Don't hit me if your looking for $1500 to work together.
I buy properties at auction in the Inland Empire. We average 15% return on each house. Different than buying at a tax lien auction, but similar. I can usually flip 4 homes per year. I don't spend any money on marketing, and I own the house the second the auctioneer says I am the highest bidder. I do have to deal with evictions from time to time, but I've always been able to work something out with the tenant.
The problem with tax sales is that they are inconsistent. I can go to an auction Monday through Friday.
@David Friedman Thanks for that input David. I see you are a RE agent, are you working directly with buyers or are working off of a line of credit. I know REO investment groups have oodles of cash reserves and lines of credit to overbid on these type of properties.
I would like to find how I can contribute to your operation.
what is the location of the auction you go to?
and do you do any online auctions?
How are those auctions these days? I went to the auction.com auctions in Ontario and the trustee sales in Chino and San Bernardino regularly from the end of 2011 to late 2013. I stopped going because there was so much competition where the numbers didn't make any sense. I understand that most of the hedge funds stopped buying. Have you noticed that there are fewer buyers at the trustee sales? Are the margins are your deals getting better?
I'm just curious to know.....
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