Individual Retirement Accounts are an extremely popular means of investing. Millions of Americans have them. Unfortunately, far too many are unsatisfied with their accounts’ returns. The fact is that most Americans’ IRAs will not usher them into retirement in anything close to the style that they envision. Regardless of whether it’s a Traditional- or Roth IRA, many people’s retirement plans simply aren’t building much of a retirement nestegg. And with the beating that Wall Street and the Dollar have been taking in recent months, it isn’t any wonder.

But all is not lost. After all, land is still available. Yes, land! Raw, undeveloped, pristine land. And although you can’t buy and hold real estate in your regular IRA, you can utilize a Self-Directed IRA to do the job. What’s that, you ask? Put simply, it’s just what its name implies. ‘Self-directed’ means that you have much more control over how the money in your account is invested (you can even have checkbook control over the funds without custodial slowdowns). As a matter of fact, self-directed IRA funds can be used for virtually any of the IRS-permitted investment types, including raw land – only life insurance and collectibles are excluded.

When you think about it, self-directed IRAs and real estate match up very well together. IRA funds are generally expected to be held for a number of years in order to grow. And real estate – especially undeveloped land – is considered to be a rather illiquid investment. So it makes perfect sense to use those funds that are earmarked for long-term growth for an inherently long-term investment. A well-chosen piece of land (one that’s located in a known path of economic growth and progress) can return far more than an 8 to 12% Dow Jones investment. Good undeveloped land can absolutely skyrocket in value; and what’s more, if purchased through a self directed Roth IRA, the distribution of any earnings and appreciated equity realized from the property’s eventual sale is tax-free!

Of course, there are a number of rules to be aware of when setting up and operating a self-directed IRA, so it’s wise to seek the advice of a good financial advisor. Even though there are numerous successful techniques to buying investment acreage for short term profit, don’t forget to look ahead to the future. “It is better to look ahead and prepare, than to look back and regret”.

In the past few years I have transacted over 5000 tax delinquent real estate investment deals. I want to take a few minutes to answer the number one question that most people have when first hearing about tax delinquent real estate investing and that is “What are the risks involved?” This is a valid question and is something that I thought long and hard about before I began building my wealth through tax delinquent real estate.

One of the major potential risks that I hear about frequently from real estate investor “newbie’s” is “What do I do if I get myself locked into a bad deal?” Well for sure there are times when you may realize that after being half-way into a deal, it turns out to be not as good as you expected, or you come across some unforeseen circumstance that has swayed the deal in the wrong direction and you have to back out to avoid loss of profit.

Certainly in my years of experience I have come across my fair share.

What I do to protect myself from these unknown or hidden “landmines”? Well there are couple things that do. 1.) I always structure my purchase contract in a way that it allows me to have no money into the deal until the time of closing. This allows me to make all my final checks on the property within the escrow period without any obligation to pay to any money to back out of the deal. 2.) Make sure you have escape clauses that state that you have the right to back out if it does not pass your inspection.

With no money down and the option to back out, I feel that there is almost zero risk involved in any kind of real estate transaction that is structured this way. This empowers me with the ability to shore up a deal very quickly while still allowing me to sleep easy at night. Whenever I feel that there is something wrong with a deal, I can simply back out. Even though I don’t do this too often, it is still comforting for me to know that I could exercise this right, if needed.

If you follow the investing techniques that I use daily, you will make money, lots of money! There is little to no competition in land investing, especially rural land. I have found a way to track down owners who are not paying their taxes and that are most likely to sell the land for cheap, and I use mass marketing techniques to contact them with letters websites, posters, and postcards to contact people before a property even is scheduled for a count tax lien or tax deed auction. If the owners are interested in selling they contact me back and we go from there.

Doubters

Many people will not get into the tax lien property investing because they make up there mind that all properties that are tax delinquent are run down or is a junk property that is not buildable. There are some junk properties out there, however if you can get a property from someone contacting you before it is scheduled to go to the auction you have enough time to do your due diligence to determine the value of the property.

And if you buy this way you not only get a good property for a cheap price you also a fee and clear title, which helps you to sell the property faster and for maximum profits. My way of investing is so low risk.

Land is the ticket

I basically focus on land rather than houses. There is an abundance of forgotten land out there to purchase for literally pennies on the dollar. With land you also do not have to know as much about real estate like construction, termites, mold and all the other things of that nature that you must know when investing in houses. There is virtually no competition for land; I am usually the only one who is interested in the land as most want houses. I’m convinced that there is enough land for everyone to profit from. This is the reason I am so happy to share my secrets. Now you should do little research to make sure you are not buying a junk property. These checks are easy to do yourself and since your buying before the tax lien or tax deed auctions you will have plenty of time to do all your checks.

Risks

Make sure you work with escape clauses. If a deal turns out to be bad and you need to get out, never put money down on it. Make sure that your purchase contract is worded in such a way that it allows you to only transfer cash at the time of closing. If I decide I do not want it, then I back out because my contract allows me to do so, any time for, any reason. The seller however, is bound by the contract and it is difficult for them to get out of it.

There are lots of ways by which you can invest in tax delinquent real estate. I am planning a seminar for three days to cover all the different methods of this arena. I will teach how to profit from county tax liens and tax deeds as well as all the advanced techniques that I use on a daily basis that allow me to easily make millions.

What is tax lien and tax deed property investing?

Most people have heard about tax lien investing, If you own a real estate in the United States, you have to pay property taxes. If you do not pay them, the county can issue a lien against your property and sell the lien at auction to investors. If you decided to you’re your taxes finally you have to pay it off with interest, penalties and fees. Guess who gets the interest? Correct. The investor makes the interest. Every county varies, but most counties wait a period of 3-5 years before they will sell a lien to the highest bidder. In Tax lien investing you can make money either way, if the owner pays the lien off, or even if they don’t. If they don’t pay the lien off you can foreclose on the property and take ownership of the property.

Tax deed investing is basically the same deal, people don’t pay their taxes, but instead of the county placing a lien on the property they actually sell the deed to the property. So in this case you don’t get interest on your money, however you can potentially make much, much more by selling the property now at market value.

If you do your research, you can find these properties before they get to a county auction and purchase them directly from the owners for pennies on the dollar.

In conclusion

Tax delinquent investing will allow you to have time with your family, and money to do what you please and most importantly allow You to leave that long boring work week behind you forever. I got the wake up call when I was working that 70-hour a week job and discovered this way to a better life, I desired success and I put in the time I needed to achieve this. Now I have time and my investing company stays working for me even as I travel and enjoy my family.

Family Time

Let me just say one thing about dreaming big. I wanted this for my family, for my kids so they knew who I was instead of just that person who comes in at night. I needed the security of a retirement, which I did not have with the regular job. I knew I had to find a way to achieve these dreams and I this is when I discovered tax delinquent investing. No matter what avenue you decide to pursue in the tax delinquent arena, I want to help you succeed. I know what it is like to have nothing and not many options and believe me the grass is greener on the other side.

Jack grew up in a small town in Germany, went to school and eventually to college and then to the USA on an exchange program. He did not want for anything growing up but there were no extras either. He came here in 1997 for the exchange program. During this time he met and married his wife. Here is his story.

Jack:

Soon after, I was making ok money, but working 70-hour weeks! I was the only one from my family in the USA and my wife and her family was from Honduras. With our families so far away we would spend a good amount of money to see them. I continued working my job, however in the meantime I began looking for another opportunity that would fit my criteria, which basically was that it made me lots of money and gave me lots of free time. We looked at least 20 different businesses and none fit the bill.

In 1999, we started real estate investing. I was still working at my job when we then discovered Tax Delinquent investing. It took 3 years to figure out all the ins and outs of the business. During the trial and error period, I worked out a system that you can buy hundreds of properties and sell for huge profits. Since those days I have done over 5000 property transactions using the system that I discovered. As my business grew, I was able quit my job, and take 4 weeks of vacation to travel and see visit our families. This year we are planning on three months to travel while still making huge profits.

The Advantages of Tax Delinquent Property Investing

There are 4 advantages actually…

1. Low risk- you buy the property with virtually no risk.

2. There are advanced techniques where you can buy a good property for literally pennies on the dollar, free and clear, months before the tax lien or tax deed sales.

3. Tax liens and tax deeds are backed by the government. You can’t get safer then that.

4. You do not need a lot of money to start with, or know a lot about real estate. I started out with no clue about real estate and only a few thousand dollars to invest with.

Better than fix and flip

This beats the fix and flips because you do not have to sink lots of money into remodeling a house. Those types of deals can get you really in the hole if the repairs go further than you expected. I stay away from risky ventures like that. Now with tax delinquent investing you can buy properties for hundreds and sell them quickly for thousands even tens of thousands more. I bought a property for $323 and sold it in 3 days for 35,000.00. Even if it had turned out to be worth less, I would have still made money! I purchased 21 properties for 3,000 and I sold them in three months for a total of 150,000.00.

If your stick in a job you done like right know worried about your retirement like I was a few years ago, I just have one question for you. What is it going to take for you to change your future? You need to do things differently then you have been doing them if you want a different result. Tax delinquent investing was my ticket to a better life, could it also be yours?

Even though I think very HIGHLY of the need for a detailed title search when buying real estate and would NEVER purchase a property without having done a detailed title search, I do NOT think very highly of title insurance.

What is the difference?

Title Insurance is issued by a Title company AFTER they have run their title search and have satisfactorily identified and removed any clouds on title that they found. Until this point, I am all for it and I LOVE it. However once they have satisfied these requirements they then agree (for a fee) to issue Title insurance on this property.

The problem here is that in that title insurance contract they exclude anything that could harm them, and basically what you get is an almost worthless kind of insurance that you have to pay money for.

So, for example, the typical standard title insurance you probably have on your house, if you go open your file drawer and look for your policy, if you own a home – and if not, ask to look at a friend’s policy – is what’s called a standard ALTA policy. If you look through that policy you’ll notice that it only protects you against anything that is recorded, and it does not protect you against anything that’s unrecorded.

What does that mean?

Well, say you want to buy a piece of land from Uncle Bobby or from somebody who’s, say, 80 years-old, and 30 years ago he gave his property to his nephew George, who put the deed in his drawer and never sent it in or took it in for recording. You buy from Uncle Bobby, but all of a sudden nephew George finds the deed and decides to send it for recording, and now you have a cloud on title. If you want to sell this property again, you’ll have to go fight this. Again this happens very rarely, extremely rarely, and as a matter of fact it has never happened in the several thousand transactions that I have done since I have been in business.

If you ever come across something like that, usually the one who records first is the winner in these cases. So always make sure that you record your documents right away, but if such a case happens, don’t expect a title company to stand up for you. They exclude this from their policy. So what is the difference between doing it yourself and doing it with a title company? There is no difference because whether you do it, or a title company does, you’re not protected in such a case. As long as you thoroughly go through the records and make sure you don’t skip records, you should be able to do the same if not a better job than the title companies and you won’t waste any money.