Ontario Tax Sale Property     

Providing free tax sale property listings for Ontario, Canada    


Escaping The Affects Of Tax Liens On Real Estate Investors




Source: David Gass - United States

The government has taken certain measures to force delinquent taxpayers to pay taxes that are due. The tax lien is one such method adopted in 18 states, where as the rest of the states use the tax deed system. In states where applicable, tax liens are sold to investors for taxes that are overdue, and the investor can collect interest from the homeowners for the amount invested in the tax liens. If the homeowner fails to pay the tax lien and the interest, the investor may foreclose on the house and obtain the property without any problems, since it is a first priority claim.

Advantages Of Investing In Tax Liens This method of investing in real estate is gaining popularity as investors are guaranteed a favorable return on their investment or, in extreme cases, granted rights to a property. The earning potential is about 16% to 24% and is considered a low risk and a low maintenance investment. These interest rates are untouched by any changes in the Federal Reserve interest rates. Another reason why investors love this method is that the lien does not subject them to land owner liability. Tax liens are secure investments as they are but a fraction of the property value.

When property tax delinquents are given adequate time and sufficient warning to pay the arrears, and they fail to do so for more than a year and a half, the tax collectors will list their property tax liens and sell them in an auction. The property owner is informed of the intended sale of the tax lien and it is published in the local newspaper. Once the tax lien is sold, the homeowner is given a fixed time frame, called the redemption period, to repay the tax lien plus interest. Foreclosure on the home is inevitable if the amount due is not paid within the redemption period. The investor is granted full rights of ownership to the property and incase the money owed is repaid while foreclosure is initiated; the investor has the right to charge the cost of he foreclosure to the homeowner too. Thus they have a potential for huge profits. If foreclosure occurs the property is given free and clear of all other claims to the investor. Another advantage is that the investor need not worry about redemption as the county is in charge of that and usually they need have no contact with the delinquent taxpayer. If the redemption has been paid to the county, the county returns the principle amount plus the interest to the investor on producing the tax lien certificates. Should the same homeowner be delinquent again the investor has a priority claim on the tax lien.

Additional Help There are firms that offer their services as well as products to help new entrepreneurs run a successful business. There is also software available to new businesses. Much of this software is made with small businesses in mind and comes at an afforda

About the Author

David Gass is President of Business Credit Services, Inc. His company publishes a free weekly e-newsletter on Small Business Consulting at their web site. http://www.smallbusinessconsulting.com




Next: Bank Foreclosures - One of the Easiest Ways to Buy Foreclosures

Previous: New York City Annual Sale - 2006



Add to del.icio.us Add to Reddit Add to Digg Add to Del.icio.us Add to Google Add to Twitter Add to Stumble Upon
Add to Informational Site Network
Report
Privacy
SHAREADD TO EBOOK








Android app on Google Play

Tax Sale Property Listings

Canada:
Current Ontario Tax Sale Properties - EBook Guide

Ontario Tax Sales - 2016
Ontario Tax Sales - 2015
Ontario Tax Sales - 2014
Ontario Tax Sales - 2013
Ontario Tax Sales - 2012
Ontario Tax Sales - 2011
Ontario Tax Sales - 2010
Ontario Tax Sales - 2009
Ontario Tax Sales - 2008
Ontario Tax Sales - 2007
Ontario Tax Sales - 2006
Ontario Tax Sales - 2005
Ontario Tax Sales - 2004

Current Alberta Tax Sale Properties

Alberta Tax Sales 2014
Alberta Tax Sales 2013
Alberta Tax Sales 2012
Alberta Tax Sales 2011
Alberta Tax Sales 2010
Alberta Tax Sales 2009
Alberta Tax Sales 2008
Alberta Tax Sales 2007
Alberta Tax Sales 2006
Alberta Tax Sales 2005
Alberta Tax Sales 2004

Nova Scotia Tax Sale Properties

New Brunswick Tax Sale Properties

USA:
New York Tax Sale Properties
Texas Tax Sale Properties

Sheriff's Sales
Ontario Sheriff Sales Properties

Ontario Tax Sale Research

Listing by Date
Listing by Counties, Listing by Districts, Listing by Regions, Listing by Single Tier

* My Properties *


Latest Discussion Posts

>> Sheriff's Sale of Lands - July 13 by rob
>> Tiny, possible contaminated soil lot across landfill by bee
>> Re: Feeder Rd aka Pietz Rd Welland results please by Pfm1011
>> Re: Be Careful what you buy by Frank
>> Re: Re: Be Careful what you buy by Dave2
>> Re: Be Careful what you buy by Frank
>> Re: Be Careful what you buy by Jack
>> Be Careful what you buy by Dave2
>> Re: Feeder Rd aka Pietz Rd Welland results please by Jack
>> Re: Mark's Point... by Pfm1011
>> Marmora sale... Deloro Ont ...Canadas Love Canal RUN RUN RUN by Pfm1011
>> Re: Moving a lot line legal question..help needed from the wiser ones on here by ruok
>> Mark's Point... by Slick_Willy
>> Re: GIS GPS RTK Glonass etc by Ronster
>> Re: Moving a lot line legal question..help needed from the wiser ones on here by Dave2
>> Re: Moving a lot line legal question..help needed from the wiser ones on here by Pfm1011
>> Re: Moving a lot line legal question..help needed from the wiser ones on here by Dave2
>> Moving a lot line legal question..help needed from the wiser ones on here by Pfm1011
>> Looking for user . M Lee by Pfm1011
>> Feeder Rd aka Pietz Rd Welland results please by Pfm1011
>> Re: What do you folks think about the recent Markham sale? (results) by Dave2
>> What do you folks think about the recent Markham sale? (results) by Jayz
>> Finally a lawyer I can afford by Dave2
>> Re: Should Municipality STOP selling unbuildable LAND? by Dave2
>> Re: Re: Should Municipality STOP selling unbuildable LAND? by mountainman

Visit the tax sale properties discussion boards


Articles

>> How Experienced Investors Find Foreclosures by D. Brownlee
>> Investing In Tax Foreclosed Properties by James Ficarro
>> Real Estate Investing: Infomercial and Mentoring Scams by Jeanette Joy Fisher
>> Real Estate Auctions Online: A Great Way to Earn and Save Money! by John Lee
>> Foreclosure Homes - Buying Foreclosed Real Estate by Carrie Reeder
>> The Pros And Cons To Buying Foreclosed Properties by Tim Lee
>> How To Find Investment Properties by Steve Gillman
>> Don't Buy Tax Lien Certificates Until You Read This! by Joanne Musa
>> Ottawa Public Tender by City of Ottawa
>> Real Estate Auctions - Are they for you? by Nancy Woodward

View more tax sale property articles


Other

Tax Sale Property Books
Kindle

Tax Sale Property Links


Follow @taxsalesont



Privacy Policy