Staying Within LIMIT

02 Oct Staying Within LIMIT

A tax lien is a lien imposed on property by law to secure payment of taxes. Tax liens may be imposed for delinquent taxes owed on real property or personal property, or as a result of failure to pay property taxes or other taxes.

So how can you stay away from high cost tax liens or tax liens that are not worth your investment when you buy delinquent taxed properties?

The principle is to know how much your budget is in investing land. Then eliminate those properties that are way beyond your budget. You don’t want to end up paying tax liens when you can use that to purchase more properties. Set a limit. If a certain property’s reach the $1000 mark then let it go. Go back to your list and you’ll surely find properties that are at your budget’s reach.

But some properties that have high tax liens are worth the investment. These are well-maintained properties on gated communities, with nice lawns and on the suburbs. It’s a matter of assessing and feeling where your money should go. If your goal is to maximize your interest rate, what you need to do is you need to focus on the properties that are at a higher value and these are the kind of properties you’re looking for.

Basically it’s a matter of knowing your budget, having a good look at your desired property and putting your money’s worth where it should be.