What are the Rewards in Tax Lien Certificate investments?
Risk free investment:
It is thought that Tax Lien Certificate investments are as close to risk free as you can get. The money that you invest in a tax lien certificate is protected by the property itself. If the taxes are not paid - you get the property! See Risks - Foreclosure.
Foreclosure - to good to be true!
Now, as stated previously, this will almost never occur. It can, but you should not enter into a deal expected to get the property. And, the foreclosure process is not the most enjoyable process. The rewards can be great but it is expensive.
Instead, be happy with the owners who pay you the back taxes and the interest required by law. You get ahead, they keep their property and you move on to a new Tax Lien Certificate.
High yield:
A pretty good yield for an investment would be 10%. Most states require much higher than that on their tax lien certificates.
For example, here are some states and their interest rates required on tax lien certificates:
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With Tax Lien Certificates you can earn between 16% to 50% percent on your investment!
This is GREAT Return On Investment ( ROI )!
Start Investing Today!
