Ohio Tax Lien Sales
Ohio tax lien sales are very profitable; they are very safe and just about unbeatable as a secure investment can be.
Ohio tax lien sales are set at 18% at this time according to state specific information.
The redemption time can be short.
However if you are an investor with little capital you may be out of luck, due to Ohio limiting tax lien sales to institutional investors, meaning you are required to purchase large quantities at once.
Ohio does offer another type of tax lien investing called tax deed sales and they are open to the general public for bidding.
There is a difference between Ohio tax lien sales and tax deed sales.
One thing they both have in common is the ability to bring big returns on your money.
Here is the difference between the two types of sales: *Ohio tax lien sales - The government relies on taxes to run its self; if they do not have the money the government cannot do its business.
So to make sure they receive their money they impose a huge penalty (tax lien of up 36% or even more) on a property owner who does not pay his taxes on time as an incentive to pay them when due.
Plus to further ensure they get their money the government will allow investors to purchase tax lien certificates where as you would pay the late taxes; receive a certificate proving you paid.
Which means you have no right to the property you only have rights to collect late taxes that are paid by a delinquent taxpayer and you have a right to the penalty fee that is assessed to the payment of late taxes to the delinquent taxpayer by the government.
So when the delinquent taxpayer finally pays (over 95% do), the government collects the taxes due, plus the late payment fee (tax lien), contacts you, you provide proof (tax lien certificate), then the government will issue you your initial investment which was the amount you paid on the late taxes plus you will receive the late fee payment (tax lien) as a return on your investment.
This return on investment could be as much as 36% or even more, not always but sometimes.
Where can you get that type of return on your money without high risk? I dare say not anywhere.
*Ohio tax deed sales - In this case the government cannot collect their taxes owed them so they take possession of the property where the late taxes were due and they sell this property to recoup some or all of their money.
You as a savvy investor can swoop in and outright purchase property for 25%, 40%, even 80% off of its real value.
This may have been where the phrase -pennies on the dollar- came from.
By now you might be thinking is it that easy?? And if you said no you would be right.
Tax lien investing if you are not skilled can be costly.
However with proper skills and the right information, Ohio tax lien sales or tax deed sales is undoubtedly one of the smartest investments you can make for your future.
Ohio tax lien sales are set at 18% at this time according to state specific information.
The redemption time can be short.
However if you are an investor with little capital you may be out of luck, due to Ohio limiting tax lien sales to institutional investors, meaning you are required to purchase large quantities at once.
Ohio does offer another type of tax lien investing called tax deed sales and they are open to the general public for bidding.
There is a difference between Ohio tax lien sales and tax deed sales.
One thing they both have in common is the ability to bring big returns on your money.
Here is the difference between the two types of sales: *Ohio tax lien sales - The government relies on taxes to run its self; if they do not have the money the government cannot do its business.
So to make sure they receive their money they impose a huge penalty (tax lien of up 36% or even more) on a property owner who does not pay his taxes on time as an incentive to pay them when due.
Plus to further ensure they get their money the government will allow investors to purchase tax lien certificates where as you would pay the late taxes; receive a certificate proving you paid.
Which means you have no right to the property you only have rights to collect late taxes that are paid by a delinquent taxpayer and you have a right to the penalty fee that is assessed to the payment of late taxes to the delinquent taxpayer by the government.
So when the delinquent taxpayer finally pays (over 95% do), the government collects the taxes due, plus the late payment fee (tax lien), contacts you, you provide proof (tax lien certificate), then the government will issue you your initial investment which was the amount you paid on the late taxes plus you will receive the late fee payment (tax lien) as a return on your investment.
This return on investment could be as much as 36% or even more, not always but sometimes.
Where can you get that type of return on your money without high risk? I dare say not anywhere.
*Ohio tax deed sales - In this case the government cannot collect their taxes owed them so they take possession of the property where the late taxes were due and they sell this property to recoup some or all of their money.
You as a savvy investor can swoop in and outright purchase property for 25%, 40%, even 80% off of its real value.
This may have been where the phrase -pennies on the dollar- came from.
By now you might be thinking is it that easy?? And if you said no you would be right.
Tax lien investing if you are not skilled can be costly.
However with proper skills and the right information, Ohio tax lien sales or tax deed sales is undoubtedly one of the smartest investments you can make for your future.
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