OfflineWhen the tax assesor siezes a property for yrs of unpaid taxes, the house is auctioned off and sold of course. But here's the kicker. A 200K house may be sold for 80K, The taxes owed may only be 20K. The $60,000 is held for the legal owner. All the legal owner has to do is show up and file a claim to get his money. But, almost nobody ever does, why? bcuz they dont know about it. They assume as I did, once a property is sold thru tax auction your SOL. Well now I find out that I or you can search these tax records for free. Then contact the legal ex owners or heirs and claim 40% of the money. On the 60K example above, thats 23 thousand smackers. It may not be as easy as it sounds though. The legal owner might be dead, or moved to timbukto, or maybe homeless. It cud take some money and lots of time and effort to locate these people. And once u found him, imagine how the conversation wud go. Hey Mr. benefactor, did u know you had $37,000 that the tax assesor is holding for you? NO REALLY, No I'm serious, Im not scaming you, wait, dont hang up.
I learned about this from one of the other RE Guru's and he's supposed to come out with a free video and more info on exactly how its done. At a price Im sure. But heck, Ill buy it, it's something I know I can do. It's just a matter of how difficult these people are to find and how much effort, time and expense am I or u willing to expend?
Rando
I was under the impression that any surplus funds were distributed to any lien holders on the property. For the previous owner to have a surplus sitting around would mean that the house would have been free and clear. I'd ask a lot of questions and see how many deals you could actually close before popping the money for the course, plus laws vary from state to state on this. Maybe check the rolls for past sales and see what kind of properties sold for what price or if you are looking for the proverbial needle in the hay stack
Yes I have heard of this. This is called a tax sale overage. There are already many courses out there to do this. The courses are all very expensive. I have already looked into this cant afford to buy the course right now but yes it is done all over the country check the section on tax sales and deeds. There is a post there on tax sale overages.
" Not Having a goal is more feared than not reaching one"
Christa Niven
I have heard of this process some years ago, perhaps if you looked in your local book store you'd find a book about it now instead of waiting for the guru you spoke of. Heck, go browse.
I thought wen a tax lien sale is done it wipes out all other liens including the mortgage. When you buy a tax sale property ur not buying it with the mortgage are u? I have to admit I dont know much about it. But yea it cud be difficult. But with all the tax sales all over the country and free to access. It seems to me its quite doable.
Rando
Darrell from Alabama (darrellf334)who is on here does a lot with tax liens/deeds and also overages. Maybe he will see your post and respond.
"You're never too old to be what you were meant to be!"
www.deangraziosi.com/real-estate-forums/investing-journals/59128/day-for...
"Shining Like a Star & Dancing on Sunshine"
"Shoot for the moon! Even if you fall short, you'll still land among the stars!"
I would think if a bank had a first lien on the property they would pay the back taxes instead of loosing the investment.
Frank,
State of Florida
Affidavit of Claim For Surplus Tax Sale Funds
http://www.leeclerk.org/vertical/Sites/%7BB2978D27-ACBA-49A1-AB85-703899...
4. I hereby make claim to the surplus funds generated from such tax deed sale. I understand that the Clerk of Circuit Court will subtract their fees from the sale pursuant to FL statute. I further understand that if I am making a claim as the owner/heir/beneficiary of the property, any valid liens and mortgages against the property will be paid before I am entitled to any of the surplus.
So what happens is, the purchaser of the property at the tax sale is not obligated to pay the existing liens. He receives clear title. But for the former owner to be entitled to any surplus, he must first satisfy the existing liens.
Which makes sense because if your house was under water, all you would have to do is not pay your taxes, lose it at a tax sale, collect the surplus and screw the bank. That's not how it works.
But then again...i'm not a guru with a tax sale course on the market
"Contact a legal professional if you have questions about estate or other legal issues. Employees of the Clerk are not authorized to provide legal advice."...and niether am I.
http://www.deangraziosi.com/forum/37
Mike
https://tvallc.isrefer.com/go/RehabLite/renvestr/ Free tools