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Discover How Government Protected Tax Certificate Profits Ca |
America's best-kept wealth building secret is
the Tax Certificate - protected by a ?carved-in-marble?200 year old
Government Tax Code. They are issued by 100?s of counties in the USA
to cover millions of dollars in over-due and delinquent property
taxes. Taxes that are desperately needed to fund hospitals, police,
fire dept. and welfare services.
Tax Certificates are secured
to the real estate they are attached to. Please remember this you
aren't really buying the real estate you are buying the government
certificate (claim for delinquent property taxes) on the real
estate. You, in a sense, hold the mortgage on the property as long
as taxes aren't paid by the owner, bank or other financial
institution. None the less you still make great money on a short
term investment! Much higher than any Bank CD, Money Market or
Annuity!
I'm going to give you a simple brake-down on how the
Tax Certificate process builds wealth for you! You can do this
locally or all over the USA!
1. Let's say taxes for 2005
are due November 1, 2005 and become delinquent on April, 1, 2006.
(If taxes are not paid by April 1, the county adds a 3% penalty.)
2. Sometime April, 1, 2006, the county places advertisements of
unpaid taxes in the local newspapers to announce the auction of Tax
Certificates.
3. Usually by June, 1, 2006 the county holds a
public auction for Tax Certificates. This gives you, the Tax
Certificate buyer, a claim against the auctioned property - for back
taxes, interest and advertising costs. The auction determines the
return investors will receive on the certificate. Instead of bidding
dollars, investors bid in county determined interest rates and they
go down from there. The bidder who is willing to accept the lowest
return is issued the Tax Certificate. (These bidding rules vary from
county to county so you should always study the county rules
from top to bottom!)
4. Once the Tax Certificate is sold to you
the bidder must pay the county the face amount of the certificate.
Now you can just file it away and let it make money for you!
5.
For a Tax Certificate to be redeemed, the County Tax Collector must
collect the face amount, plus all accrued interest, penalties and a
Tax Collectors cancellation fee. In essence, the tax collector is
working for you! You get your full investment returned to you plus
high-yield interest and any extra charges!
6. As the holder of
the certificate, you can force a public auction after 2 years if the
delinquent taxes aren't paid. It is an open auction and to acquire
the property, the certificate holder must make the highest bid. Once
the property is transferred to you, all other lien against the
property ?including mortgages ?are wiped out! (With the exceptions
of any government liens).
7. You now own the property!...free
and clear! Just remember to pay your property taxes so you don't end
up on the ?other side of this secure way to build consistent wealth!
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