| If you're determined to get involved with foreclosure | | | | likely without any other liens. |
| investing, you're on the right track. Foreclosures are at | | | | So what do we do now? How do we get this |
| an all-time high due to the recent slump in the global | | | | property? |
| economy, and the opportunity for huge gains has | | | | Most will likely have very little success at the tax deed |
| never before been quite what it is in this current | | | | lien sale itself. A host of large tax property investment |
| financial climate. The question is, what road will you | | | | firms will have long done their due diligence and |
| take - buying houses for back taxes, or by investing | | | | researched the top properties to invest in. They would |
| your money in mortgage foreclosures? | | | | be willing to make a smaller return on their investment |
| The clear answer is buying houses for back taxes, | | | | than you are - in other words, would likely be outbid. |
| and here's why. | | | | This shouldn't stop you from wanting to invest in tax |
| While investing in mortgage foreclosure used to be a | | | | property-- you simply have to be a little more creative. |
| lucrative business, current times are showing more and | | | | Why not try something along these lines. Purchase the |
| more homeowners upside-down in their mortgages. | | | | home directly from the owner - but wait until after the |
| The equity these people had in their homes dropped | | | | tax sale. This way, you bypass the need for |
| along with their home values. Finding a mortgage | | | | competitive auction bidding. And by the time their |
| foreclosure with any equity still left in the purse is | | | | property has already been "sold" at tax sale, these |
| virtually impossible at this time. | | | | property owners are more than willing to rid |
| Buying houses for back taxes, on the other hand, | | | | themselves of their tax obligation and would rather see |
| means usually never have a mortgage and still have a | | | | you with the property instead of losing it to the |
| ton of equity left in them. Why? Because at tax | | | | government. |
| foreclosure sales, mortgages are eliminated - | | | | You will often notice that the majority of these owners |
| mortgage companies ensure the payment of | | | | have already accepted the loss of their homes and |
| delinquent taxes on a property before it ever makes it | | | | simply want to put the bad memories behind them. |
| to tax sale, leaving properties that have no mortgage | | | | They are motivated to sell, and to sell for cheap. Not |
| on them by the time the sale comes around. Also, | | | | only do you help someone in need, but you also make |
| often times the back taxes owed are the only debt on | | | | a wise investment move. |
| these houses; properties without a mortgage are most | | | | |