One of the best places to put your money is in property investments.
But you have to be smart about what kind of property you invest in - not all are created equal.
Don't make the rookie mistake of going right for mortgage foreclosures.
Delinquent tax houses win - here's why.
Delinquent tax houses are almost always free of a mortgage.
That's your biggest reason to focus solely on them.
Taxes are usually paid by the mortgage company, and they don't stop paying even if you quit paying your mortgage - otherwise they'll lose the property too.
So when you buy a tax foreclosure, usually all you have to pay is the taxes and it's free and clear.
Translation: you make a lot of money.
This leads to the other main reason delinquent tax houses are the best - they're the cheapest.
If you buy at the right time, you can get delinquent tax houses for under $1000.
This will never be the case for mortgage foreclosures...
because again, they have a mortgage! Your next question is probably just how to get this property so cheaply.
Here's a tip: it won't be at the tax foreclosure auction.
You'll get delinquent tax houses for a fraction of the price you'll pay at tax sale if you wait until after the tax sale to buy it.
Nearing the end of the grace period after tax sale, where owners can still pay off their taxes, you'll find a subset of owners that you want to buy from.
These are often absentee owners - landlords, heirs, etc.
- who just simply don't want to deal with the property anymore, and aren't going to redeem.
Since they don't really want the deed anyway, they'll sign it over to you if you offer them some money for their time - try it.
Clearly, delinquent tax houses are going to be the most prudent investment you can make - especially if you don't have a fortune to spend.
Even if you're a beginner, this will work for you - maybe even better than a seasoned pro! There is a sea of foreclosure property sitting waiting to be bought out there.
Go for it!