Today I’m answering your questions about the best passive income investments in real estate, and the topics I’m going to cover are:
- Create Passive Income With Small Investments
- Buying Property for Passive Income by Just Paying the Back Taxes
- Earn a Lucrative Income From Real Estate Sold for Pennies on the Dollar
- Earning Passive Income From Owner Financing
- Income Streams From Installment Sale Contracts
- Tax Defaulted Properties Are Cash Flow Investments
Want to learn how to purchase bargain real estate? Would you like to buy mortgage-free property for pennies on the dollar? Or earn double-digit interest rates secured by real estate? Then you don’t want to miss this FREE Mini Course.
Create Passive Income With Small Investments
The Webster dictionary describes passive as having a lack of energy, not active, not involved, and submissive. What is probably most important is the synonym for passive, nonparticipating and uninvolved.
Today, I’m going to discuss creating passive income from small investments that will generate large revenue.
I’m Ted Thomas, and I’ve been involved in the business of real estate for 30 years as a guide and educator.
My area of expertise is tax defaulted real estate. The information I’m going to give you is from the investor’s point of view.
Most people don’t know how to make money with tax-defaulted real estate. My intention is to show you the possibilities of how to make money with small deals. If you will pay attention and embrace what I’m discussing, you will find that what I teach is transformational.
Buying Property for Passive Income by Just Paying the Back Taxes
Thousands of tax defaulted properties are available across the United States. I discovered this little-known but lucrative business 30 years ago and never looked back.
Nationwide the 50 states have over 3,000 separate counties. These are all individual taxing entities which means they each have their own government to manage. Universally the counties are able to create their own local customs and laws. However, they all follow the state mandate which is that all property owners must pay property tax.
If the property owner fails to pay property tax, the county treasurer will place the property in default, and ultimately, the property will be confiscated if the taxes are left unpaid.
The county treasurer will seize the property, remove the property owner from the land, and sell the property to the highest bidder at a tax defaulted auction, where it’s possible to purchase real estate by paying the back taxes.
Earn a Lucrative Income From Real Estate Sold for Pennies on the Dollar
Tax defaulted auctions are announced on the county website and in the local newspaper. Anyone can attend the auction which may be held on the courthouse steps or online. The best passive income investments in real estate can be picked up at these auctions.
The bidding starts low, usually very close to the delinquent back taxes. Defaulted properties can be purchased for pennies on the dollar.
The tax assessed value will be clearly revealed for each property, however, the auctions will begin in many instances at 60%, 70%, even 80% below the tax assessed value.
Additionally, the treasurer will cancel the mortgage or deed of trust loan.
These properties purchased mortgage-free at bargain prices will create significant passive cash flow for rentals.
Earning Passive Income From Owner Financing
What are the best passive income investments in real estate? My answer is that tax defaulted real estate is best because it can be sold or rented. Either way, it provides the owner with passive income.
Tax auction properties are perfect for owner financing. The owner financing provides residual income at high rates and a continuous stream of income for auction sellers.
There is a huge market for discounted property. Buyers with low FICO scores are rejected by banks and other financial institutions and considered risky due to divorce, poorly managed credit, or many other reasons.
Seller financing allows thousands of otherwise rejected buyers to enter the market as property purchasers. The revenue produced by owner-sellers is passive income.
I have a free gift for you, a special mini course that will show you how to profit with tax lien certificates and reveal the secrets of tax deed investing. Get your FREE gift today.
Income Streams From Installment Sale Contracts
Passive income investors using installment contracts, otherwise known as a land contract, create new opportunities for buyers that have been rejected by the banking industry and institutional loans.
The contract for deed is an alternative to seller financing and allows the seller to create a mortgage or contract for sale. It allows the seller to continue to hold the deed to the property and not transfer the property until the final payment has been made.
One of the best passive income investments is real estate. Passive investments generally have high return on investment (ROI). You are helping yourself with passive income, and you’re helping someone reestablish their credit.
Most installment sale contracts are considered high-interest investments especially when compared with institutional loans which take forever to be approved.
Tax Defaulted Properties Are Cash Flow Investments
Fixer-upper people like tax auction properties because they understand used and abused real estate, and they also understand many properties can be cleaned up and resold quickly.
The used and abused properties attract handymen, and they also attract people with good jobs but poor credit because of passive investment financing.
What are the best passive income investments in real estate? My answer is tax defaulted property.
We hope you enjoyed Ted’s lesson, “What Are the Best Passive Income Investments in Real Estate?”
In real estate you make your money when you buy. Imagine the passive income you could make from purchasing mortgage-free real estate for pennies on the dollar then reselling using owner financing. You could recoup your initial investment quite quickly and enjoy monthly income for years to come.
Where can you find these real estate bargains? At a tax defaulted property auction where the bidding begins at the amount of the back property taxes.
If you’d like to know more about tax delinquent property investing, Ted Thomas provides full support and complete training with home study courses, Q&A webinars, live tutorials, workshops, web classes, and personal coaching with certified coaches.
Learn how to reap huge rewards from tax lien and tax deed investing! Get started today by taking advantage of Ted’s Free Master Class! Act now, it costs you nothing and will give you a big head start!
Ted Thomas is America’s Leading Authority on Tax Lien Certificates and Tax Deed Auctions, as well as a publisher and author of more than 30 books. His guidebooks on Real Estate have sold in four corners of the world. He has been teaching people just like you for over 30 years how to buy houses in good neighborhoods for pennies on the dollar. He teaches how to create wealth with minimum risk and easy-to-learn methods.