My Attorney Say Stay Away From Tax Liens
Spoke with my attorney today. Told him I was interested in by tax liens. He advised that he thought it wouldn't be a good investment to tie my money. I told him I disagreed and that I was going to by local. Long Island New York. He told me theres alot invovled and that even though your money is guaranteed it can take quite a while due to bankruptcy etc. I told him I would research the list of tax liens before I attend the auction to see if any judgement were on the property as well as check the demographics. He advised not. I still disagree and even though this will be my 1st time buying a lien I still want to go forward. If any advise can be given that I should be aware of before I do this please advise.
Thanks so much for your time and advise.
You really should seek out an education on this subject before jumping as risks are involved.
I will disagree with your attorney, as this form of investing has been good to me.
[addsig]
Since when does an attorney make for a great investment advisor?
Bottom line, if the person does not have extensive experience in the area of question, his/her points are basically worthless.
The valid point would be that your money is locked up until the lien is paid. So you buy the lien today and it may be two years before you see your money again. That is why, imho, you would buy multiple liens. Some might redeem fast, others slow. Keep cycling. Unless you are in a penalty state like TX, paying slower should be ok with you.
Anyway, just my thoughts--right or wrong.
So what kind of interest can you earn over that time?
Shawn
Quote:
On 2005-01-23 17:19, libertea wrote:
Since when does an attorney make for a great investment advisor?
Bottom line, if the person does not have extensive experience in the area of question, his/her points are basically worthless.
The valid point would be that your money is locked up until the lien is paid. So you buy the lien today and it may be two years before you see your money again. That is why, imho, you would buy multiple liens. Some might redeem fast, others slow. Keep cycling. Unless you are in a penalty state like TX, paying slower should be ok with you.
Anyway, just my thoughts--right or wrong.
anybody familiar with CA law?
The short answer is yes, but you have to provide all kinds of documentation to the IRS and they are pretty good at squeezing the last buck out of a deal.