All Forum Posts by: Jim Vora

I had the same issue with my property.

Based on feedback from my CA, he recommended not to claim depreciation on the property. if i claim it even once, i have to them pay tax on entire capital gain.

I am trying to figure out if that's 100% true.

thanks @jay hinrichs and @George Despotopoulos from your inputs. I did go over google and searched for a number of private money lenders. what i have seen is:

1) I am not completely confident on where to apply. there are 100's of lenders online. I really do not want to effect my credit rating going thru multiple lenders.

2)  I would be more comfortable even if i pay out extra point but know that they will get the job done within 30 days of  winning the auction.

thanks again for taking time and posting a reply.

hi,

I am looking to get in touch with some private money lenders / hard money lenders.

I am looking to purchase an investment property in an online auction. the auction needs cash only closing within 30 days. I can put in 20-30% down but need the rest for closing the deal. 

any private money lenders on  BP.

Note: The property is in Jersey.

Welcome to BP

@Russ Draper 

I have read online that the bidders will overpay on tax liens during auction. I am trying to understand why?

@John Underwood : Agreed with your response. but there are people who bid on 0% interest and then pay a premium on the the actual tax amount.

@jim 

@Jim Hartmann undefined If someone overpays the county, I could accept that its intrest free overpayment to the county but then when the owner defaults next time will the over payment apply towards the next defaulted amount since its paid towards taxes? also, the owner has to pay out everything back so county can pay the lien holder back.   Just want to see if there is any loop hole if you pay out 20K for 1K tax lien and owner is not able to pay, would you be able to foreclose on the house.

I did have a question about Tax leins:

Does the home owner has to pay interest on just the taxable amount that they ownedd to the county or do they have to pay interest on entire amount the bidder bid on the property tax lein?

eg:, if you bid 20K on an Tax lein on home that owes only 1000 in Taxes, does the owner pay you back

1) 20K + interst

2) 1K + interest

3) 19K + ( 1K + Interest on 1K)

@Alexis Grover,

Sad to hear your story. hopefully the situation improves.

Question: I am trying to lear about investing into Tax liens but it seems like the money may take foreever to come back. is there a way you could share a few tips from your experience

1) how much returns have you been getting ( apart from this tax office delays)

2) have all the owners redeemed their tax liens within 2 years?

3) apart from the initial tax lien, do you see opportunities in NJ to acquire additional investment in same property tax liens @ 18%? if yes, how often?

thanks,

@Ray Crook  there are multiple ways you can get started using your 12K

here are some to name a few:

Wholesaling

Lease option

Seller financing.

I would recommend you to listen thru a few podcast by biggerpockets or youtube on these topics. learn the terminology and get started.  

there are many ways to do this but all of them are variations of these above 3 techniques.

all the best.

Jay,

Your Setting yourself up for loosing money.

Your estimated mortgare, HOA and insurance would cost you almost 1350 - 1400.

if you factor in your repair cost and vacancy, you may loose money on this deal. if your purely doing this for investment purpose then i would recommend to find better options.

Welcome to BP @Anthony Abuan