Tax Leins I Think
I know this ia a really dumb question, I have heard of people buy proprety in my area, lots and house for less than 500 dollars. then the resale it for lot more. they where talking about tax leins I think. is this true.. and if it is how would I get my self in on something like that.
I know this is a dumb quesrion sorry.
MY area is Abilene Tx 79606
Cane-------------------
There are no tax liens in Texas.
The properties are sold at county tax sales and the buyer gets a quit claim deed from the County sheriff's office.
There is a right of redemption for 2 years by the former owner if the property is homesteaded, is a agricultural property, or there is a third category added by the legislators a couple of years ago. For other properties there is a 6 months right of redemption.
You need to study up on the topic if you want to join the game. You should look for books and courses on the topic, centered on those specific to TX. Every state has different laws related to the collection of delinquent property taxes.
I recommend John Beck's "Free and Clear" program available at his www.johnbeck.net website for about $50. It covers all states and the Canadian provinces, as well as territories and possessions of the US.
For about $80 you can get a volume devoted to TX from Roy Stubblefield. You can find his website easily by searching for his name on the internet. He moved to TX because he liked the tax sales situation there.
There is a fellow with a middle eastern name Bazarrahs or similar that has a TX tax sales educational program. I have not seen it. I have the other two references and have read them. I have seen at least one person who was dissatisfied with this this program. So, you might want to inquire about refund policy before buying. He has posted some here on this forum, so you can search for "TX" or "texas" and probably find his name and then search on that to find his website.
You should search on this website under "TX" or "texas" anyway, and read them.
I recommend also that you read the state law related to the collection of delinquent property taxes.
I think there is great potential in TX for tax sales buying. However, the major population centers are probably not going to be very productive. I recommend going into less populous counties. Learn to research efficiently and start off buying. You can get rich off this stuff.
I bought one house in Waco a few years ago for $5K, worth, in my opinion, about $17-20K. It was redeemed in about four months so I got my money back plus 25% penalty return. I did not like losing my house to the redemption, as I was getting $290 a month rent from it. So, I don't buy at TX tax sales anymore. I buy at OK county tax resales. That is good enough for me.
Good Investing************Ron Starr*********
Thank you for the inof It gave alot of insight to what I was looking for. I will check on both of those programs, I was just thinking there must be a way around them so I am not making some one rich for free info you knwo what I mean thanks..
Quote:
On 2004-08-05 13:49, Cane wrote:
>>I was just thinking there must be a way around them so I am not making some one rich for free info you knwo what I mean <<
Cane, I am new to this whole area of investing, so I am no expert by any stretch of the imagination. I looked at it exactly the way you did, but the way I see it, you have to think about how much time you will save by buying the info. I am not dumb, but this type of info, and the amount of it, is starting to make my head spin. The laws are different in each state, and you may spend a heap of time just to find out a certain state is not good to deal with. If you could get the same info from someone else, the time saved could pay off for you. Plus, as long as the info you are paying for is good, the cost is minimal. Think about it....if you're going to buy a property for 20% of it's actual value, and then sell it, or get back 15% or so on the money you put out, either way you win. Compared to that, the $50 or so is not something to even blink an eye at.