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Tax Deed Investing: What is an “Upset” Sale?

In Pennsylvania, some counties have two that were in an area that I was
different tax sales; the "upset" sale, interested in. Through my research I
and the "judicial" sale. If tax sale narrowed this down to only two properties
properties are not sold at either of that I wanted to bid on. I did all of my
these two sales, the property then goes research the day before the sale and I
on the "repository" list and can be sold had checked that morning to make sure
by private bid. The upset sale is held that all of these properties were still
every year in the fall. It's called an in the sale. But by the next morning (the
"upset" sale because the minimum bid for morning of the sale) the two properties
the properties in this sale is known as that I was interested in had paid and
the "upset" price; which includes any were no longer included in the sale. I'm
unpaid taxes from the county as well as glad that I did my own research and did
any municipal liens. If a property is not not pay a title company to do it!That
sold in this sale, it is sold in the brings us to the second method for
"judicial" tax sale in the spring. Not finding out about liens and judgments on
all Pennsylvania counties have judicial tax lien properties, and that is to do it
sales but they all have an upset yourself. There is a little bit of
sale.What you may not know about the education and some time involved, but it
upset sale is that all properties are is well worth it. In most states, to do
sold subject to any liens or judgments. this type of research you would go to the
That means that if you purchase a tax County Hall of Records. In Pennsylvania
deed at this sale, you are responsible the office that has the records that you
for any other unpaid liens or judgments need to search is the office of the
on the property. Most people assume that Prothonotary. The people in this office
when they buy a property at a tax sale, are usually very helpful and will help
that they don't have to worry about other you to look up what you need to know.
liens such as a mortgage. This is not You'll have to look for liens and
true at the upset sale. If you plan on judgments by the name of the owner. If
bidding at any of these sales this fall, there are co-owners or joint owners, you
you'd better do your homework!So how do will want to search under both names.Keep
you find out about other liens or in mind, however, that if new liens were
judgments on tax sale properties? There not yet recorded they could slip through
are two ways that you could do this; one the cracks in the system and you won't be
is going to cost you some money and the able to find them. There is always some
other is going to take some of your time. degree of risk when you buy a tax deed,
The first way is to hire a title search even if you are careful and do your
company to do a simple title search on homework. This is why it is always
all of the properties in the sale that recommended that you do not buy tax deeds
you are interested in bidding on. This in your own name, but in the name of a
could turn out to be a little costly, so separate entity. It could be a
it's not my method of choice. Another corporation or an LLC. If you need help
reason why I don't hire a title search forming a corporation or LLC for the
company to do title searches for me purpose of buying tax deeds, I know of
before the sale is that many of the two excellent programs to help you. They
properties will come off the sale list were both created by Darius Barazandeh,
the day before or the morning of the Texas attorney and tax deed expert. You
sale. You may pay for a few title can find out more about these programs,
searches that you don't even need because Incorporate for Wealth, and The Wealth
the properties that you wanted to bid on Building LLC on the resources page of
are not sold at the sale.Today I went to Joanne Musa is a Tax Lien Investing Coach
the Monroe County Upset Sale. I didn't and Consultant who works with investors
even bid on any properties. I researched who want to learn how to buy profitable
about 10 of the properties in the sale tax lien certificates and tax deeds.




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