Someone told me you can pay off a house's taxes and if they don't pay you back with interest, you get the house. I don't know much about this but I'm trying to learn. Can someone inform me of this matter?
2007-07-21 05:35:47 · 8 answers · asked by I have a really long nickname!!! 2 in Business & Finance ➔ Renting & Real Estate
Call your tax collector's office. They publish notices of tax sale certificates. The frequency & procedure depends upon local law.
This is no get rich quick scheme for amateurs. Trading in tax certs is now in the hands of professional investors with big $$, real estate expertise & research ability.
2007-07-21 05:45:34 · answer #1 · answered by Anonymous · 1⤊ 0⤋
I have heard exactly the same. I have a friend that was doing that in Florida and it works exactly that way. They go to the auctions and place a bid. I believe they have to have a certain amount towards the bid or the full amount. After a period of time passes (not sure if this is the same in every state) and the person that owes the taxes does not pay than the property is yours for the amount you bid for. Now if they do pay in that time frame they have to pay you the amount of taxes plus interest. If I remember correctly you have to put down a certain amount of money and the only problem is that for her was waiting without knowing what would occur. Either way she didn't lose.
2007-07-21 06:32:29 · answer #2 · answered by donna a 1 · 0⤊ 0⤋
They skipped the part of you also getting all of the liens, including the mortgage. Anyone not paying their taxes also did not pay other bills, so you may be biting off more then you can chew.
Additionally, if the original owner pays off their tax debt within two years they get their house back. You need to do some serious research before you go this route.
Evicting them is another issue to contend with, as you won't have clear title, it could take well over a year to get the original owner out of the house.
2007-07-21 05:43:08 · answer #3 · answered by Anonymous · 1⤊ 0⤋
Here is how it works.
Each state through the property taxation and revenue department has on their website a page for delinquent property tax properties. On this page they usually explain how the law operates regarding tax sales and how and what liens and encumbrances you will inherit if any, what the rights of the delinquent tax payer are and how they can get the property back after sale, if allowed, (some states do not have redemption periods). They also will tell you how the auction operates and what you must do and have ready if you wish to participate in acquiring a property.
To find this information you go to your state's web site then to the taxation and revenue site and look for tax delinquent property department.
Best of luck on your research
2007-07-21 05:52:05 · answer #4 · answered by newmexicorealestateforms 6 · 1⤊ 0⤋
Some states have tax lien laws which provide for such. However, bear in mind that most of these are sold along with their OTHER encumbrances on title. You don't get a title clear except for the tax debt.
Do you REALLY want to buy a $150K house on which a total debt/encumbrance, including the tax debt, is $180K ?
Do your homework CAREFULLY before you get involved.
Only a true idiot would let a house of this value get sold for back taxes when there are no other encumbrances against it.
2007-07-21 05:44:18 · answer #5 · answered by acermill 7 · 1⤊ 0⤋
Usually the county tax recorder, or County tax collector will have this information.
2007-07-21 05:42:48 · answer #6 · answered by Anonymous · 1⤊ 0⤋
You can look in the paper. There is a section in the public notices. They have to inform people of the intent to sell in the paper. You find out which ones look good to you and research them further. It usually is a certin day of the week they run them. Call your local paper and find out which day it is.
2007-07-21 05:41:14 · answer #7 · answered by Windy 4 · 0⤊ 1⤋
Look under distress sales either in Banks or real estate
2007-07-21 05:41:04 · answer #8 · answered by bornfree 5 · 0⤊ 1⤋