What is my next Step for a tax lean deed?
The first step in entering the profitable world of tax deed investing is to understand what a tax deed is. A tax deed, also known as a tax lien, is a first position lien placed on a real estate property when the owner fails to pay taxes on the property. It is superior to other property encumbrances such as a trust deed or mortgage. In other words, should a property be foreclosed upon, the tax lien will always be paid off first. This makes a selected tax lien a relatively safe investment, as the value of the property rarely falls below the amount of the lien. When a tax lien is issued by the taxing authority that was supposed to receive the taxes, interest as much as 18% or higher will accrue until the delinquency is paid off by the property owner. Some states are definitely better than others when it come sto offering high rates of return on the tax lien certificates. It is key that you do your homework and learn the ins and outs of any state that you might be interested in looking int
