The Road To Financial Freedom

What does the road to financial freedom look like for you?

Here’s what it looks like for me…

  1. Paying off all consumer debt (I have a lot) and being debt free
  2. Contributing to my Infinite Banking life insurance policy so that I can be my own bank
  3. Investing in tax liens because they are not tied to the stock market, or the federal interest rate

Your road to financial freedom might look completely different than mine. It might look  something like this and have nothing to do with an infinite banking policy or tax lien investing…

  1. Both spouses working in full time jobs with good salaries and benefits
  2. Investing in long term and short term rental properties

Whatever your personal path to financial freedom is there are 2 things that will help you get there faster. And that is…

  1. Having the right mindset
  2. Operating within your Money DNA (i.e. the way that your mind is wired)

That’s why for our next Wealth Building Webinar, I’m bringing an expert to help with both of these things. In fact I refer to him as the Millionaire Maker, because quite frankly that is what he does. I believe in him so much that I’m working with him myself. And I want to bring his insight to you.

Our Next Wealth Building Webinar

So join me on our next Wealth Building Webinar, at a different time this October because I will be traveling at National Tax Lien Association Symposium on the usual time. This month the Wealth Building Webinar will be on Tuesday, October 11 at 7pm Eastern Time/6pm Central/5pm Mountain/4pm Pacific. 

>>Register to join us live HERE<<

It’s free to come to the live training. and the training will be recorded for members of Wealth Building Webinars. Don’t miss any of the future Wealth Building Webinars! It’s only $49 per month to get all of the Wealth Building Webinar recordings including the archived recording from the last couple of years. And I don’t want you miss some of the future trainings on great topics like how to fire the IRS and keep more of the money you make in your business, how to get out of debt faster and be your own bank. And of course trainings on different aspects of tax lien and tax deed investing.

But that’s not all you get when you become a member of Wealth Building Webinars. You also get access to my Tax Lien Investing Basics course (a $297 value). This course was designed to help you with 2 things:

  1. Finding the best place for you to invest in tax liens and/or tax deeds
  2. Getting all the tax sale information you need to participate in the tax sale
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Investing For Success Saturday Snapshot

This is your Investing For Success Saturday Snapshot

Boy that’s mouthful, so for now on I’ll just refer to these Saturday messages as the Success Saturday Snapshot. In addition to the Investing For Success Saturday audio messages that I send out to subscribers and clients, I’ll post something here…

Investing For Success

Today I have a snapshot of a property report for a parcel in an upcoming tax sale in Vigo County Indiana. This should give you an idea of the type of properties you can find in tax lien sales in Indiana. But investors beware…Unless you know how to do your due diligence before you even look at these properties, you can still wind up with a dud. What do I mean?

Investing For Success Due Diligence

Before I even identified this property, I filter the tax sale list by property type and area. I filtered out the high crime cities. I filtered the list to show only the best places to invest in for that county. How did I do that?

It’s really very easy, and didn’t take much time at all. I used a couple of resources that make it easy to do. One is a paid data service that I make available to all of my clients. And the other is a free resource that anyone can use.

I use the free resource to find the best places to invest in counties that I’m not familiar with. And I use the resource that I pay for to filter the list, look at the tax sale properties, and get all the information I need to make a decision of whether to bid or not.

Information like:

  • Assessed value of the property
  • Market value of the property
  • Any environmental issues
  • Flood risk
  • Mortgage data

Plus I get to see the parcel on a google map with an outline of the property. And sometimes I even get a street view. If you’re buying property at a tax deed sale, this is just the beginning of proper due diligence. In that case, I recommend you physically look at the property. Or have someone look at it for you. But this is pretty good due diligence for tax lien sales.

Evaluating Tax Sale Properties Masterclass

If you would like to see the resources that I use filter the tax sale list. And the steps that I take to choose the right properties to bid on. Come to the Tax Sale Success Masterclass on Thursday September 22. I’ll be conducting a 90 minute Masterclass on Evaluating Tax Sale Properties from 7pm – 8:30 Eastern Time. It’s only $47 to attend live and have unlimited access to the recording and all materials – including a due diligence checklist.

Space is limited so register now at https://TaxLienLady.com/Investing-for-success-masterclass.

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3 Things To Consider When Choosing Where To Invest In Tax Liens

bidding at the tax sale

How do you choose where to invest in tax liens or tax deeds?

Here are 3 things to keep in mind when you are choosing where to invest:

The first is that going to a tax sale is a better strategy than trying to purchase left over liens or deeds that are offered by the county.

I understand that in the past some tax lien investing experts recommended that you buy liens or deeds directly from the county and avoid the competition. And there are some experienced investors who do make money with this strategy today. But as more investors, funds, and banks have jumped into this market over the last 20 years, it has become even more competitive. So competitive that what is left over are the junk properties and in some areas, even those are bid on so that there is nothing left! In today’s market it’s a better strategy to go to the tax sale. And since online tax sales are more competitive than online tax sales, it’s best to attend a live tax sale if you can.

The second thing to keep in mind when deciding where to invest is where you live.

Since it is better if you can go to a live tax sale, what state do you live in and what type of tax sales do that have? Do they sell tax liens or tax deeds, or redeemable deeds? What is the bidding procedure and do they have live or online tax sales. If your state doesn’t have the type of tax sales that you want to bid at, do you live close to another state that does?

I live in Pennsylvania, which is a deed state, but invest mostly in tax liens and redeemable deeds. I also live really close to New Jersey which is a tax lien state. And though many of the sales are online in NJ, there still quite a few live tax sales. So most of the sales I participate in are in New Jersey.

The third thing to consider when choosing the right place to invest is how much money do you have to invest.

You need more money to invest in deeds and redeemable deeds than you do to invest in tax liens. That is because when you purchase a deed or redeemable deed you are bidding for the property and in competitive real estate markets, investors may bid pretty close to market value to get the deed. Even for tax liens there are some states that you will need more money than others. In states that bid premium for tax liens you will need more money than in states that use a different bidding method.

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Want To Invest In Tax Liens – How Much Money Do You Really Need?

profit from your tax lien

How much money do you really need to invest in tax liens or tax deeds?

One of the most frequent questions I get about tax lien investing is “How much money do I need to invest in tax liens?”

How much money you need to invest in tax liens depends a few factors:

  • Where you live
  • Whether you are investing in tax liens or tax deeds
  • What type of bidding takes place at the tax sales you’ll be bidding at
  • And what your goals are

And it may be more than you think!

I know that some people think you can buy a tax lien for a couple hundred dollars and wind up with a house that is worth a couple of hundred thousand dollars. This is not really how it works, however.

The truth is that tax liens on good properties are going to be more than $200. In fact I don’t bid on tax liens that are less than that. And I make sure that I have enough money in reserve to pay another 2 or 3 years of taxes on the property. That is because in some states the redemption period might be 2 or 3 years and before you can foreclose on the property, you will have to pay the subsequent taxes.

When you buy a tax lien at the tax sale, you are paying previous years delinquent taxes. But there are now current taxes due on the property and there will taxes due during the redemption period. At some point before you can own the property, you will need to pay the subsequent taxes! And then you will either need to hire an attorney to foreclose the right to redeem the lien, or pay a fee to the county to receive the deed to the property.

So how much money do you really need to start investing in tax liens?

I used to recommend that you have at least $2000 to buy a tax lien. But that was 10 years ago when only 4 states had online tax lien sales. Today many tax lien states have their tax sales online, and many of them require deposits. Today, you need a budget of $10,000 for some of these online tax sales.

Also if you are buying deeds and not liens you may need a lot more. At tax deed sales and redeemable deed sales the bidding might start at the back taxes and penalties owed the county. But it is bid up from there. And since investors are bidding for the property, the bidding can go quite high. For these tax sales you will need more money, depending on what state you are bidding in, what the economy is like at the time, and what type of property you are after.

Need help getting started?

Have money to invest but need help getting started? Want to make sure that you bid on the right properties and don’t make mistakes that could cost you? Working with someone who can mentor you could mean the difference making or losing money on your investment. I can help you find the best places to invest, easily get the tax sale information, and find the right properties to bid on. To schedule a complimentary Profit Planning session with me to find out how I can help you. Just fill in the form at https://taxlienlady.com/mentoring-application.

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My 3 Favorite Tax Lien Investing Tools

tax lien investing tool

Want to know about the tax lien investing tools and resources that I use the most? If you’ve been following me, you know that there are smart and not so smart ways to invest in tax liens and tax deeds. I’m all about the smart and easy ways to invest.

Tax lien and tax deed investing has gotten a lot easier since I started investing in tax liens in 2002 and tax deeds in 2005. There are online tools and resources that either didn’t exist when I got started or I just wasn’t aware of then. Some of these resources are free online tools that I use all the time to find upcoming tax sales and research tax sale properties. They make tax lien and tax deed investing a lot easier than it used to be. Most of them are free. Although I do use a paid version for the one resource that I use the most.

In this article, I’ll list the top three tools and resources that I use to make tax lien investing easier, and explain how I use them.

My Favorite Tax Lien Investing Tools:

Tax Sale Finders – This is the tax lien investing tool that I use the most. I use a paid version and I provide the paid version to members of the Tax Lien Profits Accelerator™ and my coaching clients. The first thing that I use this resource for is to find out what tax sales are coming up across the country. I can filter the upcoming tax sales to find just the type of tax sales I’m looking for all across the country or in the state of my choice.

Once I find the tax sale that I’m looking for, I can filter the list of properties in the tax sale. I can filter the list down to a manageable number of properties to research. And I don’t have to waist my time researching properties in areas that I don’t want to invest in, or types of properties I’m not interested in.

Then I can get reports on the properties that I want to research further. The reports include a map showing the parcel boundaries and assessment data, market value of the property (according to the county), mortgage data, any environmental concerns and flood risk. I’ve only described part of what is provided by Tax Sale Resources, but these are the features that I use the most.

If you would like to get access to Tax Sale Finders and learn how use TSF along with the other resources listed in this article to find out what tax sales are coming up around the country, filter the tax sale lists and choose the right properties to bid on, check out the new Tax Sale Success Workshop at www.TaxSaleSuccess.com.

Niche.com – I like to use this free resource to find the best places to invest when I’m going to a tax sale in a state or county where I don’t know the area. I use it to find the best counties in a given state. And to find the best cities or towns to invest in inside any given county. While many of the resources that show real estate values that used to show crime ratings no longer do this, Niche.com does. So I also use Niche.com to check crime ratings in areas that I’m considering investing in.

Zillow.com – Tax Sale Resources gives the market value of tax sale properties according to the county, but that does not always keep up with the market. So I use Zillow to find a better estimate of what the market value really is. Zillow doesn’t always keep up with the market either. In a lagging market, it is usually a little higher than what the property would sell for. And in a rising market it’s a little lower. But it is still more up to date than the county records.

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