Are Tax Liens Good Investments

How To Invest In Property Tax Liens

Spending in tax liens via acquisitions at a tax lien sale is simply that-a financial investment. All Tax Sales in Colorado are carried out per CRS 39-11-101 thru 39-12-113 Following the tax lien sale, successful prospective buyers will receive a copy of the tax lien certificate of acquisition for each property. Investing in tax liens through purchase at the tax obligation lien sale is just that, a financial investment.

Real Estate Tax Lien Investments For Tax Advantaged Returns

When a home owner drops behind in paying property taxes, the region or municipality might put tax lien against the residential property. Instead of waiting for repayment of tax obligations, governments occasionally determine to sell tax obligation lien certificates to private capitalists. Your earnings from a tax obligation lien investment will come from one of two sources: Either rate of interest repayments and late costs paid by house owners, or foreclosure on the property in some cases for as little as pennies on the dollar.