Tax-lein certificates

Comments(4)

• 
  donley17th June, 2003

  Quote:
  On 2003-04-04 21:37, devinder wrote:
  How can I buy Tax-lein certificates over the phone or by mail from states which give interest from 18% or more. what is the best way to contact them. Initially which is the best state to start this business.
  
  Thanks
  
  Devinder

• 
  TheNecktieKid19th June, 2003

  Hi devinder,
  
  Purchasing TLC's by phone or mail can be done. Usually these are liens which are left over from auctions, where no one bid on them an the municipality took them back.
  
  Due to recent turns in the stock market, investors have been looking for alternative investments, and tax liens have become very competative. Mentioning that, what type of property due you think would be left behind in a state that yeilds 18% or more. One that probably cannot be developed, has EPA problems, in wetlands, etc.
  
  I just went to an auction today in NJ. NJ has a rate of 18% and penalties on top of 2 to 6% as well. One property has a lien for $54,160.00. In NJ we bid down the rate and then bid a premium on top til the winning bid. The winning bid for this property was a premium paid of $120,000.00. Do you think this was a good deal? I would like to know what other members think as well.
  
  Necktie

• 
  cscarpero19th July, 2003

  Florida allows OTC and pays 18%

• 
  vewdodude20th July, 2003

  Necktie -
  
  That sounds crazy. How far down did the rate get bid? A bid down, AND a top dollar premium.... Not a good sign.