HOW CAN YOU MAKE MONEY BUYING TAX LIENS?
You’ve probably heard of people earning fortunes with tax defaulted properties, but can you make money buying tax liens? What can you do with these? Learn more about how it works.
Americans love to make money, and when they hear about government tax liens, they wonder, is this really true?
Today’s I’ll answer your question, “Can you make money buying tax liens?”
You’ll find the answer surprising and very profitable for those who learn the steps to success.
I’m Ted Thomas, and about 30 years ago, I discovered this little-known, very profitable investment which is perfectly legal and ethical. It helps people in your community. It also helps the home owner, and it helps you. It’s been available for over 200 years.
Once I discovered that I could buy tax lien certificates for pennies on the dollar and earn outrageous interest rates, I was all in and changed my investment strategies.
I have a gift for you. Take advantage of the FREE streaming video Mini Course on how to find and profit from from tax liens and tax deeds. I can show you how to create your own cash flow machine from wholesaling properties purchased for pennies on the dollar.
CAN YOU MAKE MONEY BUYING TAX LIENS? – RESEARCH AND BUY LIENS ONLINE
As the years have passed, this investment has become easier and easier because during the 30 years, local counties, which are old fashioned and a little behind the times, began changing.
They have a long way to go, but at least in today’s market, they have changed enough so you can learn how to buy and do everything with tax liens online. That means you can sit at your kitchen table and make money.
CAN YOU MAKE MONEY BUYING TAX LIENS? – A SAFE AND SECURE INVESTMENT
So can you make money buying tax liens? My answer is absolutely! What I’ll do now is show you what’s in it for you and give you some foundational material.
Tax liens are a safe and secure investment. You can get started right away, and you can make money relatively quickly. Your profits will be steady, predictable, and certain.
When you invest in tax liens, your profits come from the local government.
CAN YOU MAKE MONEY BUYING TAX LIENS? – TAX LIENS VS TAX DEEDS
Here’s how it works. The United States is divided into approximately 3,000 counties. In about half of those counties, the local governments will sell tax lien certificates.
When they are selling the tax lien certificates, they are doing so because the property owner did not pay taxes.
The other half of the states and counties are not so benevolent. They don’t sell tax lien certificates. Those counties have a severe penalty for not paying property taxes.
These are tax deed states, and the counties confiscate, seize the delinquent property, and the county treasurer sells the property at a public auction for a little more than the back taxes.
CAN YOU MAKE MONEY BUYING TAX LIENS? – TAX SALES
The county announces those auctions in the local newspaper and on the county website. The starting bid at those auctions is very close to the back property taxes that are delinquent.
The tax deed states use that money from the sale to pay the delinquent taxes, and whatever is leftover remains at the county. Properties are sold at tax deed auctions for 60%, 70%, 80%, sometimes even 90% below the tax assessed value.
Want to learn how you can make big profits from deep discount real estate? Would you like to buy homes for cents on the dollar? Or earn stratospherically high interest rates? Then you don’t want to miss this FREE mini class.
CAN YOU MAKE MONEY BUYING TAX LIENS? – TAX LIEN CERTIFICATES
Today we’re answering the question, “Can you make money buying tax liens?” so let’s talk about tax lien certificates.
Once again, there are 3,000+ counties across the United States. Approximately, half of those counties will sell tax lien certificates.
This simply means the county will issue a tax lien in the form of a certificate on each property that is delinquent and has unpaid property taxes. The property owner remains in the property until the certificate expires.
The county treasurer will issue many notices of default to the delinquent property owner. These notices will explain the consequences of nonpayment of property taxes.
After many due process notices from the county, the tax lien certificate will be sold at a public auction which could be online or on the courthouse steps.
CAN YOU MAKE MONEY BUYING TAX LIENS? – TAX LIEN CERTIFICATE INTEREST RATES
The public may purchase as many certificates as they want. The purchaser of the certificate is paying someone’s property tax.
This act of paying another’s property tax is rewarded generously. The purchase of the certificate will earn the buyer an outrageously high interest rate.
For example, Arizona pays 16%, Florida pays 18%, Iowa pays 24%, and Illinois pays 36%. These interest rates are annualized interest payable on the investment made on the tax lien certificate.
Thousands of tax liens are available, and they are all for sale.
CAN YOU MAKE MONEY BUYING TAX LIENS? – A 200-YEAR-OLD BUSINESS
County governments need the money from the property owners to pay school teachers, county employees, sheriff and police department, firefighters and hundreds of other bills, like building schools, fixing roads and running the legal system.
The business of tax liens and tax deeds has been mandated and administered by local counties for hundreds of years.
Over 5,000 auctions will be scheduled across the United States this year. Anyone can attend these auctions.
CAN YOU MAKE MONEY BUYING TAX LIENS? – TAX LIEN PROFIT EXAMPLE 1
What’s in it for you? Can you make money buying tax liens? I put together some easy math. Let’s review the numbers so you see the profits.
For example, if you purchased a certificate at the tax lien auction in Arizona and invested $2,000, and on that certificate, you got the highest interest rate of 16%, here’s what that would look like financially.
For the first year of investing $2,000 at 16%, at the end of one year, assuming the property owner paid the tax, you will receive your $2,000 principal back plus interest of $320.
You have choices. Spend the money, or reinvest the principle and the interest. So, you decide to reinvest all the principle and interest each year for 20 years. Your $2,000 would magically almost become $40,000.
I’m not a CPA, financial planner, or an attorney at law. I’m just a prepared investor who helps and guides others who want to learn this almost secret and hidden agenda.
CAN YOU MAKE MONEY BUYING TAX LIENS? – TAX LIEN PROFIT EXAMPLE 2
To make this really look good, let’s check out the following example.
Tax liens in Iowa pay 24% interest. Just as we did above, let’s invest $2,000 which will now be earning 24%.
In a perfect world at the end of the year, the taxpayer will pay you the $2,000 principal payment, all your capital returned, and now the interest would be $480.
Again, you have a choice. Go spend the money or reinvest your tax lien funds.
To give you some idea of how valuable this investment really is, let’s take the $2,000 principle plus the $480 interest and reinvest again and again for 20 years.
At the end of 20 years, your account would show close to $150,000, and the only investment was $2,000.
The choice is always yours. It’s your money.
Would you prefer Bank of America at 1%, or would you prefer tax lien certificate investing at 24%?
When it comes to tax lien certificates vs CDs, it’s no contest.
We hope you enjoyed Ted’s lesson, “Can You Make Money Buying Tax Liens?”
The answer to that question is, “Yes, absolutely!”
Tax lien certificates pay outrageously high rates of interest, and they’re secured by real estate, making them one of the safest high-yielding investments in America. You either get paid the high rate of return, or you get the property.
You purchase tax lien certificates from the government, and you get paid by the government. They’re sold at public auctions, also called tax sales, and today many of these auctions, tax lien properties lists, and county records are conveniently online.
About half of the states sell tax lien certificates. The rates vary depending on the state, or sometimes even per county. You can earn interest rates of 16%, 18%, 24%, even up to 36%. Now compare that to the 1% the banks are paying.
Tax lien certificates are an excellent passive investment, safe, certain, predictable, and very, very profitable.
If you’d like to know more about the safest and most profitable real estate investments available, there’s no one more qualified to teach you than Ted Thomas.
Ted is America’s leading authority on tax lien certificates and tax defaulted property investing, and he can show you how to buy property with delinquent taxes and make huge profits from it.
Ted Thomas is the only one who provides full support and complete training with home study courses, Q&A webinars, live tutorials, workshops & web classes, and personal coaching.
If you’d like to get started today, you can begin now at no cost by taking advantage of Ted’s FREE Master Class. It’s only about 1 hour of streaming video and will open your eyes to the incredible opportunities available in tax delinquent real estate investment.