You have stumbled upon an excellant, exceptional, nearly secret way to invest small amounts of money and receive high yields. Occaisionally, you even get a house. Each tax authority is different.
There are several issue you need to understand regarding the practices in place by the taxing authority. Each state is different. Each city is different. You need to VERIFY!.
1. Redemption period
2. Multiple paticipants
3. Bid or straight certificate purchase (influences yield)
4. Incurred liabilities
5. Asset protability
6. Pre-publish and publish cycle
7. Redemption action required
8. Expiry of certificate holder rights
*** Be aware in some areas purchasing the tax cert DOES NOT LEAD TO OWNING A PIECE OF REAL ESTATE!
Each area is different. For more clarity please read how tax certs are handled in Pinellas County FL. You MUST know the details for the area you are considering.
Here's the link: http://www.taxcollect.com/Content.aspx?ContentID=97
This option is certainly worth your time and energy to develop real expertise.
Visit the taxing authority website and review the disclosures they have published, Familiarize yourself with the local lexicon. Contact the county tax authorty involved. Telephone will work best. Ask in the appropriate context (1-8 above) the criteria as it applies to that county. They will mail or emial the list.
Now, your strategy becomes important.
The explaination and example provided above is to alert you that you MUST do your homework. You need to know if acquisition is the outcome of winning a public auction.
Best of success,
Annette Lawrence, Broker/Associate
Remax Realtec Group
Palm Harbor, FL
Serious people call
Really serious people use reliable data sources
Hope that helps.