| Unless you have been under a rock, you've heard | | | | thousands of liens available. Tax liens are sold with a |
| about foreclosures and what a great investment | | | | specified redemption period which is the length the |
| they can provide. But what if I told you there was a | | | | time the property owner can still pay the overdue |
| new type of foreclosure opportunity that has only | | | | taxes without the risk of losing their property. Once |
| existed for a few years which very few investors | | | | the redemption period has passed, who ever |
| truly understand or have taken advantage of. | | | | purchased the lien has the right to foreclose and take |
| Most people know that they can loose their house if | | | | ownership of that property. The important point here |
| they fail to make their payments in a timely fashion, | | | | is the redemption period starts on the day the lien |
| what very few know is that the same thing can | | | | went up for sale at the government auction, |
| happen if the home owner fails to pay their property | | | | regardless of whether the lien sold or not. |
| taxes to their local county. When you are unable to | | | | Redemption periods can range anywhere from 6 |
| pay your mortgage within the terms defined, your | | | | months to 4 years. |
| property will be foreclosed. Likewise by not paying | | | | Prior to the internet all these liens also had to be |
| your property taxes your property will become a tax | | | | researched at the government auction itself, so this |
| lien or deed sale. | | | | also made it difficult as you couldn't do any due |
| The internet has revolutionized the way in which tax | | | | diligence beforehand which increased the risk of the |
| liens and deeds are sold. Before the internet counties | | | | investment. Now with government auction web sites |
| only published information about the tax sales in their | | | | providing information in advance and many of these |
| local newspapers. As a result the local government | | | | liens having surpassed their redemption periods, you |
| auction turnouts were terrible, and there were many | | | | can purchase a lien and immediately be eligible to |
| more tax liens for sale then investors attending the | | | | foreclosure the property. |
| auctions to purchase them. Over a span of many | | | | In summary you can now research online and find lien |
| years, the number of unsold tax liens grew | | | | properties that you like and if the redemption period |
| dramatically. | | | | allowed for the home owner to pay their taxes has |
| So these liens were placed back into inventory | | | | passed, you can purchase that lien to in turn receive |
| where they sat for years. Now there is a back log of | | | | full ownership of the property. |