Home » Real Estate

Research Is Key When Buying Tax Deeds

Aug 17, 2007
Buying tax defaulted real estate can be a blessing or it can be a curse. You can get a great deal but you must do your research.

The first step in the due diligence process is to get the list of parcel numbers from the county. This list can be extremely confusing at first. Once you get the list, then you go to where the county records are kept, usually called the County Auditor or County Assessor. Many counties have this information online. If not, then you will need to go there in person. Alternately, you can hire a title company to do this research for you.

The next thing you should do is get a plat map and visit the property. Take your digital camera and lots of notes. If you are attending a big sale, all the different properties can get jumbled in your head quickly, so organization is key.

Once you look up the parcel numbers and have visited the property, then you need to know what is actually on the property. Is there a house there? If so, is it condemned? Is it zoned commercial? If so, you may need to check for contamination issues? Is it vacant land? If so, you need to check whether there is a road going to it.

The next thing you need to check is valuation. As the old saying in real estate goes, it's all about location, location, location. Check around. Call the Realtors and appraisers and don't be afraid to dig. Realtors can be extremely helpful if you ask them nicely.

The next thing you need to check is zoning. You would hate to find out that you are about to build your dream house on this property only to find out that it's zoned for mobile homes.

You also need to find out about assessments. While there are several different types of assessments that can come up, the most common ones are sewer assessments and property owner association assessments. The big thing with assessments is you need to find out if there are any delinquent assessments owed that will be wiped out with the tax sale. Check with the county first about this and then check with the company assessing the property. In many states, they leave it to the company assessing the property to waive back dues on a case by case basis. Don't be afraid to talk to the property association and tell them that you are going to be providing dues to the community and then negotiate negotiate negotiate. They know that you are going to bring in much needed funds to the community and will work with you if necessary.

In conclusion, be smart, be diligent, and be careful. But with the proper planning, great deals are yours for the taking.
About the Author
Carlos Scarpero is an experienced real estate investor who specializes in land. On his tax lien and tax deed blog at http://www.scarpero.com/real_estate , he discusses innovative and creative real estate strategies to make your real estate investing more profitable.
Rating:
Please Rate:
(Average: Not rated)
Views: 182
Print Email Report Share
Article Categories
    • Artists
    • Gambling
    • Humanities
    • Humor
    • Movies
    • Music
    • Photography
    • Tattoos
    • Television
    • Classic Cars
    • Motorcycles
    • Recreational Vehicles
    • SUVs
    • Trucks
    • Vans
    • Branding
    • Business Opportunities
    • Careers and Jobs
    • Corporate
    • Customer Service
    • Direct Mail
    • Entrepreneurship
    • Ethics
    • Financing
    • Franchising
    • Home-Based Business
    • Human Resources
    • Import and Export
    • Leadership
    • Management
    • Market Research
    • Marketing and Advertising
    • Negotiation
    • Network Marketing
    • Networking
    • Organizational
    • Presentation
    • Project Management
    • Public Relations
    • Small Business
    • Strategic Planning
    • Team Building
    • Telemarketing
    • Training
    • Data Recovery
    • Databases
    • Games
    • Hardware
    • Networks
    • Operating Systems
    • Programming
    • Security
    • Software
    • Spyware and Viruses
    • Ask an Expert
    • College and University
    • Home Schooling
    • K-12
    • Languages
    • Online Education
    • Psychology
    • Accounting
    • Credit
    • Currency Trading
    • Debt Consolidation
    • Insurance
    • Investing
    • Leasing
    • Loans
    • Mortgage
    • Mutual Funds
    • Personal Finance
    • Stock Market
    • Structured Settlements
    • Taxes
    • Wealth Building
    • Coffee
    • Cooking
    • Gourmet
    • Recipes
    • Wine and Spirits
    • Acne
    • Aerobics
    • Alternative Medicine
    • Beauty
    • Cancer
    • Cosmetics
    • Depression
    • Diabetes
    • Diseases and Conditions
    • Fitness Equipment
    • Fitness
    • Hair Loss
    • Heart Disease
    • Medicine
    • Men's Health
    • Muscle Building
    • Nutrition
    • Skin Care
    • Supplements and Vitamins
    • Weight Loss
    • Women's Health
    • Yoga
    • Arts and Crafts
    • Babies
    • Collecting
    • Elderly Care
    • Genealogy
    • Hobbies
    • Parenting
    • Pets
    • Pregnancy
    • Woodworking
    • Feng Shui
    • Gardening
    • Home Appliances
    • Home Security
    • Interior Design
    • Landscaping
    • Affiliate Programs
    • Article Marketing
    • Auctions
    • Audio
    • Banner Advertising
    • Blogging
    • Broadband
    • Domain Names
    • E-Books
    • E-Commerce
    • Email Marketing
    • Ezines and Newsletters
    • Forums
    • Internet Marketing
    • Link Popularity
    • Pay-Per-Click
    • Podcasting
    • RSS
    • Search Engine Marketing
    • Search Engine Optimization
    • Security
    • Social Media
    • Spam
    • Video
    • Viral Marketing
    • Web Design
    • Web Development
    • Web Hosting
    • Copyright
    • Cyber Law
    • Intellectual Property
    • National, State, Local
    • Patents
    • Regulatory Compliance
    • Trademarks
    • Baseball
    • Basketball
    • Boating
    • Cycling
    • Extreme Sports
    • Fishing
    • Football
    • Golf
    • Hockey
    • Hunting
    • Martial Arts
    • Running
    • Scuba Diving
    • Soccer
    • Swimming
    • Tennis
    • Dating
    • Divorce
    • Marriage
    • Weddings
    • Astrology
    • Buddhism
    • Christianity
    • Faith
    • Hinduism
    • Islam
    • Judaism
    • Meditation
    • Metaphysical
    • New Age
    • Cable and Satellite TV
    • Cell Phones
    • Communication
    • Gadgets and Gizmos
    • GPS
    • Satellite Radio
    • Video Conferencing
    • VoIP
    • Addictions
    • Coaching
    • Goal Setting
    • Motivational
    • Stress Management
    • Time Management
    • Clothing
    • Electronics
    • Fashion
    • Gifts
    • Jewelry
    • Causes and Organizations
    • Environment
    • History
    • Holidays
    • Men's Issues
    • Nature
    • Philosophy
    • Politics
    • Women's Issues
    • World Affairs
    • Air Travel
    • Camping
    • Cruises
    • Destinations
    • Outdoors
    • Article Writing
    • Book Reviews
    • Copywriting
    • Fiction
    • Non-Fiction
    • Poetry
    • Quotes
    • Screenplay
    • Tools and Resources