Understanding Tax sales auctions in Grand Rapids mi

[Tereak Sims]

I’m trying to understand the process of investing

In tax sale auction. From my knowledge you pay the taxes on a home from there you receive some type of certificate saying your going to get a rate of return on the taxes you payed? when the home owner pays? If the home owner fails to pay you take ownership of there home ?

I know there might be some

Technicalities to getting owner ship of the home depending on the states and laws?

[John Underwood]

The process is different per state but is also similar.

You go to an auction on bid against other investors for a lien against the property or for the deed (in a tax deed state) you are either bidding up what you'll pay for the lien or bidding down the interest rate you'll accept.

You are normally getting a interest rate on your investment during the redemption period. During this time the property owner can redeem the property and you get your money back plus some amount of interest. If the property doesn't get redeemed you either get the deed or the right to be able to foreclose on the property.

This is the big picture and their are more specifics that vary by state.

If you call your local delinquent tax office they should be able to give you more specifics including when their next auction is.