Is It True?
That I can purchase a superior lein can be bought, such as a delinquint tax lein, and then have the homeowner quitclaim deed you the house for a "fee" and then you'd own the house free and clear then after the foreclosure process?
is this the way it goes or not, thanx!
My sugestion is to get out there and Negotiate all of these Liens. Of course I would have a Deed from the Owner and away you go. The pressure of the foreclosure is sometimes a great help in buying the liens, mortgages, corruptions of title. etc etc.
Here in LaLa land I set up an escrow and feed it the demands from all these lien holders as I get them. Then at the end I do a high and mighty refinance, or I borrow from other equities and take those funds and make the title pure and clean.
The funniest one I ever did. The nice man I was buying from had not cleaned, painted or repaired anything in the house since the day he first moved in. A small amount of time about 30 years. Well he got all wrapped up in watching me run around making a fool of myself and spending money paying off his past due promises etc. He decided to clean the house as a gesture toward some form of participation in the great clean up of title and house.
So he gets a mop and a pail and starts in. Of course in the living room which had a carpet that resembled the earth, both in texture and color. Well he starts in and what happens, the floor gives away underneath the area of cleaning. Seems the termites became future schocked and stopped holding hands and the collapse occured. He wanted to let me out of the deal. Said he would give me a note for all of my expenses. Now that would have been a really valuable piece of paper, suitable only for sanitary purposes.
In any case about a week latter I went to visit him in the trailer he was living in. I took him to breakfast and afterwards I took him by his old house.
The bulldozier was just finishing up and the trucks starting to load up the little tiny pieces. He cried, I cried too. He for the loss and me because I was way over budget.
We killed a Split of Champagne which I think was the first time ever for him. Mostly he chewed tobacco and drank a concoction called "Screetch." I think you could use it as a substitute for Turpentime. Whatever.
Of such things are the stuff of life. You must enjoy what you do. Time goes very fast do not waste it on dumb things or ugly woman.
Cheers Lucius
Joe--(OH)-------------------
Please do not try to act upon your current understanding. You might get yourself into a passel of problems.
When you get a deed directly from the owner, you step into their shoes. Whatever they owed when they transferred the property to you, you now owe.
It is possible to buy tax liens in some states. And in most states it is a superior lien. So the foreclosure of that lien does typically wipe away from the property all the other liens. Or perhaps I should say, most other liens. Any IRS liens are not wiped away, although they disappear after 120 days unless the IRS redeems, paying you what you paid plus some interest. Other federal liens stay on for one year before evaporating. In many states state liens will remain on the property after a tax sale or a tax deed.
Every state has different statutes related to the collection of delinquent property taxes. The procedures differ and the quality of your deed differs. I recommend that you study the laws for any state in which you are thinking of investing. You might find a lot of information at some treasurers' or tax collectors' web sites on the topic. Also, be alert to possible title insurance problems.
Tax sales are my favorite way to buy houses. But it is not real easy. You have to learn how it works and get out and do it.
Good Investing***********Ron Starr**************