What are the Risks or Drawbacks of Investing in Tax Lien Certificates?

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What are the Risks or Drawbacks of Investing in Tax Lien Certificates?

The drawbacks of tax lien investing can be summarized as follows:

Liquidity: Tax liens are not liquid investments. In some cases you may have your money tied up for several years before you get the principal plus interest back. You cannot choose when a property owner will redeem a certificate.

Complexity: Tax lien laws vary from state to state. Very few products are available to help teach you in a step by step manner how to invest.

Time: Tax liens require a time commitment to learn the rules of a state and its counties, research properties and attend auctions.

Auctions: Many states and counties still use the public oral auction system and to some that can be intimidating at first; however, with a few pointers it is much easier to understand.

There are a few other things to consider so doing your homework is always important.

Bryan Rundell is co-author of the book and online course, Rogue Real Estate Investor Collection, a book that profiles the wide range of investing options available to real estate investors, including information on tax liens and tax deeds in one comprehensive 500-page manual that covers all 50 states and Canada. For two years, Rogue Real Estate Investor Collection has been one of the top real estate books on the Internet, selling over 5,000 copies.

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Real Estate Tax Lien Course

Safely earn 18-240 percent per year with government sponsored tax liens.

Over The Counter Liens and Deeds

How can you invest in tax liens and tax deeds without attending an auction?

The answer is Over-the-Counter Tax Sale Investing.

The Teleseminar will cover all the states that allow Over-The-Counter Tax Sale investing, including Alabama, Alaska, Arizona, Arkansas, Colorado, Florida, Illinois, Iowa, Montana, Nebraska, New Jersey, Oklahoma, Tennessee, Texas, Wisconsin and Wyoming.

Included with the Over-The-Counter Teleseminar is the Over-The-Counter Super List. This list contains thousands of liens and deeds that can be purchased through the mail.

Purchase liens and deeds through the mail or online.