Tax Lien Auction
When you go to a tax lien sale, what are you actually bidding on? The interest rate or the actual tax amount? How do you win the bid?
When you go to a tax lien sale, what are you actually bidding on? The interest rate or the actual tax amount? How do you win the bid?
Ivaccaro,
Visit****Must Reach Senior Investor status before posting URL's*** and read all their free documentation. Certain states handle the bidding in different ways. Some bid down the interest from 15% to whatever the least amount the winner is willing to receive. Other states have you bid "surrender" money. This money is returned to you when the lien is satisfied (sometimes interest bearing) but not returned if you foreclose on the property.
If you're serious about liens, please find a mentor first.
Greg
Or the property is sold to the highest bidder over the tax amount..
In michigan you are bidding on the actual deed to the property. New law just took effect this year. You are not bidding on the lein you are bidding on the actual deed free and clear, but due to the law being new I've heard of trouble with title insurance.