multiple tax cerificates
In the recent issue of the Business Review I noticed that properties which are scheduled for tax deeds have three to four different tax lien certificates attaced to the them. Are these certificates owned by the same person?
Most helpfull site to date.
Happy Holidays to you all. 
artour,
Welcome to TCI. It is great to see you here.
With tax liens the different liens are usually owned by seperate people. That's not to say that the same person cannot own them all, but the tax certificates are actioned off and it goes to the lowest bidder. Also the property cannot have more than one tax lien imposed on it for property taxes a year. So one person could not buy multiple liens on the same property at a single auction.
I probably went a rambili'n on but I hope I helped anyway.
Dan
Thank you DanDan.
Your info was very helpfull.
From your experience - at the tax sale auction what can be expected in terms of interest rates. All books are pushing 18%
return in FLA. Is this a hook? What is a reasonable interest rates could be expected for a quality properties in So. FLA.
Are there still money to be made in tax sales?
If you bid, what kind of properties do you consider and select. What to watch out, and what to stay away from.
I realize that it is a lot to ask of you to answer all these questions. Your information will be mostly appreciated. Hope that one day I will be able to help other newbies with investment recommendations.
Sincerely.
Artour
artour,
All the information I have recieved on Tax certificates were reading just like you, and I discuessed it with my old attorney. I was interested in buying tax deeds at one point but never have, as my lawyer put it.
You don't see many attorneys buying tax deeds because attoneys know that if the owner refuses to pay the you are buying a lawsuit.
I know what you are thinking. Yes tax liens are superior but if there are multiple tax liens you may not be the first in line. Also, Yes you technically have the deed to the property but you have to pay to get a hold of the real deed(through court).
On the other hand this lawyer could be completly wrong. The lawyer may not be the correct place to go to look for security in an investment strategy. They do have one-sided perspectives. I have heard many stories of people very satisfied with tax certificates. Some of them within my family.
I just have not gotten into them myslef because I found this site. And if you haven't looked around you should. There are some amazing investing stratagies that allow you to control you money and your profits. I am working on those stratagies.
In the long run it all comes down to what you want to do. If you want to get the 18% interest that tax liens can get you, then you are going to go for it. I am just letting you know of what you may hear from others. And to open the idea of differtent types of investing.
'a little hint, after you know what you want to do, consult with a good attorney on how you can accomplish that goal.'
I know I am kind of vague, but it can't be helped. I am a strong beliver in personal choice.
God Bless and Merry Christmas,
Dan
Good morning Dennis.
Visited your web site. It is impressive.
Thank you for your detailed explanation of pros and cons of tax certificates.
Wherever I look for information they offer to sell reading materials on this subject, and that subject. I amassed a library of these books and read all of them, however, to date can not find a suitable venue to persue. I am looking for real estate investment to supplement my day time job selling womens shoes.
What part of REI is still valid, and worth while investing time,and money.
Thank you again for your guidance.
Artour
Artour,
I was surprised to find that there are actually many deals out there that are available for investmest. I am extremely interested in "subject to" investing, and I am on my way to buy subject to's. My brother and I have been waiting to buy becasue we can't find a lawyer that we think is trustworthy. But without even buying John's course (which is sold on this website) I have found people who are willing to hand over the deed to me while they keep the mortgage in their name.
Good investing requires time. If you are willing to give up time than you can be anywhere financially you dream.
To be honest with you I am still in the dream stage myself. I have massed eduaction and am still learning. My next step is to do it.
Good Luck,
Dan
Hello Artour, I guess what Dan is saying here to you is that there are a lot of choices in REI. You have to decide which past you wish to take. Some do very well with tax liens, others become very successful landlords, others become real estate developers. There are many ways to make money in real estate investing, but what works for me may not be the path for you. If it takes spending a few dollars to learn the skills needed to earn millions....well you see where I am going.
Many a good deals could have come your way, but if you were not knowledgeable enough to see the profits down the road then you would not have invested in the deal. Take some time to learn different techniques then determine which is right for you. Good Luck
Certificate bidding begins at an 18% interest rate and is bid down until the certificate is sold to the lowest bidder. No you do not get 18% unless no one else bids. Interest is paid at the rate of the winning bid. When a tax certificate is redeemed and the interest earned on the face amount is less than 5%, and mandatory charge of 5% interest is due.
The 5% minimum mandatory charge does not apply when a certificate is purchased from the county.
Yes there is some fluff and misinformation about ROI.
Yes there can be multiple tax liens on the same subject property as well as multiple tax certificate owners.
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