Updated about 5 years ago on . Most recent reply
Alabama Tax Lien Sale Auction Season
Shelby County, Alabama kicked off the spring tax lien investing season with a bang on March 27, 2017. The big investors bid down redemption income to an average of 6% but that's still a respectable return in today's environment. Best of all, they left plenty of properties for local investors to buy, rehab, rent and/or flip. Expect similar trends throughout Alabama for April and May, ending with Tuscaloosa County on 5/30 and Montgomery County on 6/7. Remember, Alabama tax lien investors are entitled to possession as soon as they receive their certificate, usually 5-10 days after the auction. They can collect rental income and keep the money, even if the taxpayer redeems. And, for property with a residential structure, the value of any repairs by the investor is added to the redemption price tag.
If you have any questions, ask them here, and I'll try to help as many people as I can.
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@Denise Evans Thank you for spreading your knowledge here!
I have purchased a tax lien certificate (in Alabama) and should have it in hand next week, assuming the owner does not redeem it this week from the County revenue office. The property contains a double wide manufactured home. It is occupied (although rarely, but someone does come and go occasionally). I don't know for sure, but I believe there is also a mortgage on the property (at least there was 2-3 years ago). I have read your advice to others to take possession as soon as possible once I have the tax lien certificate in hand. Personally, I would prefer possession of the property rather than the owner redemption. This lot adjoins property I already own. What is your advice regarding possession, and what do I do about the bank mortgage if I determine there is such?