I begin investing in Tax Liens approximately two weeks ago.
I felt the timing was right and since I had some disposable income, I jump head first.
I am still relatively new to the area and invited a fellow business colleague to assist me with accessing some of the areas; well a partnership was born.
Although, we are both novices in Tax Liens, I have a solid background in researching topics (mostly taxation) but I digress so I felt mildly comfortable with this sudden turn of events.
Well in hindsight, my partner and I management style is vastly different; this is where the slight nuisances started to appear.
Although this partnership is a good fit on paper, I would highly recommend that one's partnership somewhat compliment your personal investing style.
Sometimes, that polar opposite creates a good balance; but also it challenges.
I am providing this post mostly to share my personal observations and also, because there are equally as many request seeking partnerships and funding.
For those individuals, I submit that that partnerships with colleagues, family and friend inherently involved possible nuisances in operating style, priorities, and realistic timeframes on the amount and division on your net return of investment.
In summary, think, plan and have those discussions prior to forming your partnership, funding etc...these are just my thoughts in hindsight.
Good points. Yes, only partner with family and friends that you never want to talk to again. And communicate, communicate, and communicate with all others before entering into a partnership.
Where do you invest in tax liens? I am in the middle of moving an old 401k into a self directed "check control" IRA and planning on slowly putting it all in liens and deeds. In Indiana liens and Texas deeds to start.
If you are interested, a couple of good books on liens and deeds are:
"Profit by Investing in Real Estate Tax Liens", by Larry B. Loftis
"Zero Risk Real Estate", by Chip Cummings
Just started reading "The 16% Solution", by Joel Moskowitz
All have been recommended by BPers
Good luck in your investments!
Quite a few our clients also invest their solo401k in tax liens in addition to real estate and trust deeds.
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