Tax Lien Sales Going On Now

We’re coming up on the end of 2010!

?As I write this post we have only 51 days to go until 2011. So what can you do now until the end of the year to start building your profitable tax lien portfolio?

Although the online tax lien sales are pretty much over for this year, there are still tax sales going in different states around the country and liens are going at decent interest rates! There are still 4 counties in Illinois that have their tax lien sales coming up and I’ve heard from my friends at PIP West (a tax lien agent that specializes in buying Illinois tax liens) that things are going well this year and they were able to pick up many liens at over 30% per annum and a few liens at the maximum rate, which in IL is 18% per 6 months or 36% per annum.

The online tax sales in Colorado are done, but there are still quite a few tax sales coming up that are not online. Judging from the results of the online tax sales these tax sales are worth going to if you live in or near these Colorado counties. The interest rate is only 10% in Colorado with premium being paid for liens, but the premiums paid on the online tax sales were pretty low – about 3% of the certificate amount for the ones that I looked at. And even though you don’t get your premium back, you get the full 10% on your subsequent tax payments. Not as good as Illinois but still beats what you can get in a bank CD by?a long shot.

New Jersey tax sales are also ramping up and will be going strong through December. The default interest rate in NJ is 18% but that can be bid down as low as 0% and premium paid for liens. But you do get a penalty of 2-6% depending on the amount of the liens and you get the maximum rate on your subsequent tax payment. And unlike Colorado you get your premium back in NJ if the lien is redeemed in 5 years.

I always love to hear from you on how you do at these tax sales, so leave a comment and let me know.

Happy and Prosperous Investing,

Joanne

About Joanne

Joanne Musa is known online as the Tax Lien Lady. She helps people who want to invest their money profitably in tax liens and tax deeds and get high returns on their money without the typical risks of real estate investing or the uncertainty of the stock market. Get your free special report on "7 Steps to Building Your Profitable Tax Lien Portfolio" by Clicking Here.
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