logo
logo
Sign in

What is a Tax lien investing?

avatar
Joyce B. Lewis
What is a Tax lien investing?

A lien is a legal interest in an asset that arises when a property owner fails to pay the tax obligations associated with the asset. In the case of real estate, a tax lien is granted to individuals or companies that do not pay property taxes. A landowner or homeowner can usually waive a property tax lien before it expires if they pay off the debt along with all penalties and interest.


Local governments initially imposed property tax liens on taxpayers, including towns, cities, or counties. Although many governments have the right to collect their tax debts, the demand for tax certificates is increasing. Purchasing one of these certificates, usually at a public auction, means that you accept responsibility for paying taxes owed to the public. You are also responsible for collecting this debt from the property owner.


The municipality receives a guaranteed tax return payment by selling tax deposit certificates to third-party investors. Investors willing to take risks are rewarded with interest payments as the property owner pays off the debt over time.


Learn How to Invest In Tax Liens. 



Tax liens are one of those rare investments that are low-risk and high yielding. A tax lien pays up to 36% interest; if you don't get paid, you get a mortgage-free property. In most cases, the tax deposit certificate is redeemed, and the deposit tax investor is paid. Tax Coverage is for you if you're looking for a safe, high-yield, real estate-backed passive investment.


If you are interested in learning more about Tax Lien investing, the Tax Line Code offers full support and extensive training. Learn how to make big profits with tax liens and tax deed investments in real estate! Get started today by using the Classified Tax Code Class! Act now; it costs nothing and gets you off to a great start!



collect
0
avatar
Joyce B. Lewis
guide
Zupyak is the world’s largest content marketing community, with over 400 000 members and 3 million articles. Explore and get your content discovered.
Read more