Tax Lien Investing Basics

Invest Tax Liens

Spending in tax liens through acquisitions at a tax obligation lien sale is just that-a financial investment. All Tax Sales in Colorado are conducted per CRS 39-11-101 thru 39-12-113 Following the tax lien sale, effective prospective buyers will certainly get a copy of the tax obligation lien certificate of purchase for each property. Investing in tax obligation liens through purchase at the tax lien sale is simply that, an investment.

Tax Lien Investing Pitfalls

When a home owner falls behind in paying building tax obligations, the county or community might put tax obligation lien against the building. Rather of waiting for payment of taxes, governments often make a decision to sell tax obligation lien certificates to personal investors. Your income from a tax obligation lien investment will certainly come from one of two sources: Either interest repayments and late charges paid by homeowners, or foreclosure on the property sometimes for as little as dimes on the dollar.