What does this mean? I am interested in buying leans but have no experience in this. Is Texas not a good State to do this in? What do I need to do to get started?
The rate is an annual rate, however, it is fixed during each year. The properties with a two year redemption period pay 50% during the second year. You are also entitled to be reimbursed for all reasonable and necessary expenses plus interest to maintain the property.
Example: you purchase a house for $10000, you pay $2000 for an insurance policy on the house, and $2000 to repair a leaking roof. This makes your investment $14000. If the property owner redeems during the second year, he would have to pay you $21000 to reclaim the property.
I am new to the lien/deed investment world. I live in Texas and plan to hit an auction in April just to watch the event. I do have a couple of questions that I am hoping someone could help me understand:
1. How do I go about finding out if the property has any additional liens against it?
2. How do I go about finding out of the property has IRS liens against it?
3. One item I do not understand is the mortgage piece. What if I bid on a rental property w/out a homestead that is behind in their taxes for $5,000. At the end of the 6 months the owner does not redeem - what happens to the mortgage amount due to the mortgage company? I see several homes listed in my area that look to be rental and were built in 1999 - I have to assume they have a mortgage attached to them.
4. If I purchase a deed on a home that is currently being lived in by the owners who have not paid their taxes - when I purchase that deed, does the county kick them out of hte house?
5. Can anyone recommend a good honest tell all seminar that I could attend in the Dallas area?
Thanks for any insight on this adventure!!!!
Any liens against the property have to be recorded at the county level. You can go to the county tax office to do research.
If the mortgage company does not take action to pay the taxes and the property goes to tax deed sale, the mortgage company loses its rights. Therefore, most likely the mortgage company will step in and pay the back taxes before the property ever goes to sale.
The rate is an annual rate, however, it is fixed during each year. The properties with a two year redemption period pay 50% during the second year. You are also entitled to be reimbursed for all reasonable and necessary expenses plus interest to maintain the property.
Example: you purchase a house for $10000, you pay $2000 for an insurance policy on the house, and $2000 to repair a leaking roof. This makes your investment $14000. If the property owner redeems during the second year, he would have to pay you $21000 to reclaim the property.
Is Texas still a STATE?
Thought they started their own country...
A little humor from the great state of Washingotn, the only state named for a President. And besides, we have Bill and Paul...
I am new to the lien/deed investment world. I live in Texas and plan to hit an auction in April just to watch the event. I do have a couple of questions that I am hoping someone could help me understand:
1. How do I go about finding out if the property has any additional liens against it?
2. How do I go about finding out of the property has IRS liens against it?
3. One item I do not understand is the mortgage piece. What if I bid on a rental property w/out a homestead that is behind in their taxes for $5,000. At the end of the 6 months the owner does not redeem - what happens to the mortgage amount due to the mortgage company? I see several homes listed in my area that look to be rental and were built in 1999 - I have to assume they have a mortgage attached to them.
4. If I purchase a deed on a home that is currently being lived in by the owners who have not paid their taxes - when I purchase that deed, does the county kick them out of hte house?
5. Can anyone recommend a good honest tell all seminar that I could attend in the Dallas area?
Thanks for any insight on this adventure!!!!
Any liens against the property have to be recorded at the county level. You can go to the county tax office to do research.
If the mortgage company does not take action to pay the taxes and the property goes to tax deed sale, the mortgage company loses its rights. Therefore, most likely the mortgage company will step in and pay the back taxes before the property ever goes to sale.
You will have to initiate action to evict.