I have been looking to invest about 20,000. I came across tax certificates and it sounds very solid with good return. what is the downside of this? how can you lose?
2007-03-16 14:43:16 · 2 answers · asked by GiddyUpn 2 in Business & Finance ➔ Investing
(1) if the owner appeals the tax bill, (there is an error), and wins and doesn't owe the tax, the county eventually returns your money WITHOUT interest.
(2) why didn't the owner pay? Is he baankrupt from paying for environmental violations? If there is an environmental hazard on the property, and you buy the tax certificate and the owner doesn't redeem it, then you own it and can be held responsible for the cleanup
2007-03-16 17:40:20 · answer #1 · answered by Ted 7 · 0⤊ 0⤋
most tax certificates I know of allow you to buy someones elses tax bill so the government get there money. If you buy property taxes you could end up with the house in a downdraft market-likke we have and owe more to the bank then the house is worth. And you now owe the payments
2007-03-16 22:52:00 · answer #2 · answered by RayM 4 · 0⤊ 1⤋