Tax Lien Certificate Sale

A Tax Lien Certificate Sale is one way a state government can hope to guarantee it will collect taxes it is owed. Another way for government to try to make sure they receive taxes that are due is by holding a deed sale. Both of these methods combined can ensure the government they will receive their money owed in an appropriate time.

Collecting taxes is important because if property owners do not pay the government will not have the funds to run daily operations such as road maintenance, hospitals, public parks, police, etc. So you can see why government places a high priority on collecting taxes and one reason why tax investing may be the safest type of investment with a genuinely good chance of high rate of return and very little risk taking involved.

A tax deed sale and a lien certificate sale are two completely different entities. A tax deed sale takes place when the government offers investors the chance to bid on property whose taxes have not been paid on within a certain time frame; the government in advance sets this period of time. This deed sale gives the investor who wins the bid complete ownership of the property in question. In some cases an investor can purchase property for the price of back taxes plus court cost and other nominal fees which can add up to a savings of 40%, 60%, even sometimes 85% off what the property is worth, that is the holy grail of tax lien investing! Doesn't happen every time but is spectacular when it does.

Many investors consider a certificate sale to be the safest investment possible with the smallest risk taken. Point in hand; a property owner fails to pay his taxes on time, the government puts a lien against the property until the property owner pays. This lien is security that the government will either get the money owed them or will get the money by selling the property whose taxes were not paid. So the government sells this lien (certificate) in an auction to the highest bidder, which is you the investor.

Now when you the investor pays the late taxes for the property owner, the government gets what they want (their money), the property owner buys time to come up with money to pay, because he does not want his property taken from him and you take your tax lien certificate and go on about your day.

When the delinquent non-payer pays up on his back taxes (over 98% do) to the government, the government collects the money due plus an interest on the taxes he owed as a penalty for not paying on time and sends you the investor your initial investment plus the late interest penalty. That late interest fee is predetermined by state government depending on what state this transaction takes place in. This interest rate may be 8% to 18% and depending on the circumstances up to 36%, are you starting to see the potential opportunity yet?

I don't mean to make this sound like a day at the park, but when a tax lien certificate sale is done correctly it is by far one of the safest investments you will make. Of course investing done by shooting from the hip will often end up like a day at the races with nothing to show for it.
The sky is the limit.If you are interested in learning more about Tax Deeds and Liens, you should click on the link below. It is a great place to get started if investing in real estate is what you are looking to do. Yes, you can still make a fortune in Real Estate with this Ultimate Real Estate system. >>> http://bit.ly/1ukjzFZ 

Stuart J Miller is enamored with tax lien investing. If what you have just read grabbed your attention on the possibilities of investing, go to Tax Lien Certificate Sale for more information and a complete 'System' to show you how to invest in profitable Certificates and Tax Deeds. Plus grab these 3 bonuses FREE- 1) Exclusive private invitation to attend a one-of-a-kind Q & A teleseminar with the Tax Lien lady, 2) How to use a Self-directed IRA to invest in Tax Lien Certificates and Deeds, 3) State guide to Tax Lien and Deed Investing in every state. Tax Lien Certificate Sale

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