 Tax Liens/Deeds (by Jam [AL]) Sep 6, 2013 3:13 PM
 Tax Liens/Deeds (by Roy [AL]) Sep 6, 2013 5:27 PM
Tax Liens/Deeds (by jam [AL]) Sep 7, 2013 9:07 AM
Tax Liens/Deeds (by jam [AL]) Sep 7, 2013 9:18 AM
Tax Liens/Deeds (by keith [AL]) Sep 7, 2013 11:23 AM
Tax Liens/Deeds (by Roy [AL]) Sep 7, 2013 2:16 PM
Tax Liens/Deeds (by jam [AL]) Sep 7, 2013 2:45 PM
Tax Liens/Deeds (by jam [AL]) Sep 7, 2013 3:10 PM
Tax Liens/Deeds (by jam [AL]) Sep 7, 2013 3:11 PM
Tax Liens/Deeds (by Roy [AL]) Sep 7, 2013 4:16 PM
Tax Liens/Deeds (by Roy [AL]) Sep 7, 2013 4:25 PM
Tax Liens/Deeds (by keith [AL]) Sep 7, 2013 6:33 PM
Tax Liens/Deeds (by Jeffrey [VA]) Sep 8, 2013 4:48 AM
Tax Liens/Deeds (by jam [AL]) Sep 8, 2013 12:23 PM
Tax Liens/Deeds (by Jam [AL]) Posted on: Sep 6, 2013 3:13 PM
Message:
State Specific Question About: ALABAMA (AL)
Keith, Roy or other AL LL's, In continuance of a prior post on same subject. Have you ever been involved in or know of any court cases I might look at that might give me more insight to rights and remedies regarding properties purchased at tax sales. I would like to view as much as possible to try and determine just what I can do to a property without risk of losing any money put into it before the tax deed. I've read some law and as you Keith stated, I may take immediate possession and believe I can make necessary maintenance/repairs to preserve the property. Just what does this mean legally? I'd like to look at some court cases to see how these things are settled. The property in question has been badly vandalized and will take major work to be habitable. Without electricity and plumbing, it seems the house will deteriorate quickly over the next two years. If you know of any court cases I could look at or know just where/how to research this I would greatly appreciate. Thanks in advance. --172.56.xx.xx |
Tax Liens/Deeds (by Roy [AL]) Posted on: Sep 6, 2013 5:27 PM
Message:
Jam (AL)
First of all, understand that AL has a 3 year right of redemption on Tax Sales. That means if you buy a property at a tax sale, the original owner who is in default, can come back within the next 3 years, pay all back taxes and fees AND take possession of his property back.
Now, is this your main concern? You investing rehab money in a property and losing it 3 years later? If yes, I have an answer for you.
What you really need is a lawyer that specializes in real estate. Pay him an hourly fee, make an appointment and ask him/her whatever questions you have. You will get more reliable information than you will get for free here. Make sure the attorney you choose in the same county where you want to buy at Tax Sales. --69.244.xx.xx |
Tax Liens/Deeds (by jam [AL]) Posted on: Sep 7, 2013 9:07 AM
Message:
Thanks Roy. Good Advice. Was wondering, though, if you or Keith had any personal experience you'd be willing to share. Looking at prior court cases and how the lawyer handled it may help me choose the best lawyer to consult with. Thanks again for responding. --208.54.xx.xxx |
Tax Liens/Deeds (by jam [AL]) Posted on: Sep 7, 2013 9:18 AM
Message:
Thanks Roy. Good Advice. Was wondering, though, if you or Keith had any personal experience you'd be willing to share. Looking at prior court cases and how the lawyer handled it may help me choose the best lawyer to consult with. Thanks again for responding. --208.54.xx.xxx |
Tax Liens/Deeds (by keith [AL]) Posted on: Sep 7, 2013 11:23 AM
Message:
JAM- i have tried several times to post my info here but it always gets "edited". If you can find me i would gladly talk about this with you. Like anything these tax sale properties can be done. You just have to watch out for the pitfalls. I have some case law examples. Try to look up bluegreenal.com --98.89.xx.xxx |
Tax Liens/Deeds (by Roy [AL]) Posted on: Sep 7, 2013 2:16 PM
Message:
Jam,
Every spring, my County (Etowah) publishes in the newspaper a list of tax sale properties that can be bought at auction at the county courthouse for whatever amount is owed on unpaid delinquent property taxes. At least 2,000 properties are listed and it requires 4-6 full pages (front and back) in the newspaper to list them all. Each property is listed only with the Legal Description which is a pain to decipher but can be done with a computer and online access to the county's property tax records.
A couple of years ago, I spent one weekend making a list of tax sale properties that I would like to bid on, but I needed to see them in person before I would bid. I made a list of 20 properties and by using published PPIN number, I located the physical addresses of the properties. I took my list of 20 potential tax sale properties and visited each one by car. When I saw each property, I realized WHY the owners would allow the property taxes to go unpaid.
Half of the properties on my list turned out to be vacant lots in bad neighborhoods. The other half were houses but in REAL bad condition,...like a roof caving in or the house had severe fire damage. All were located in bad neighborhoods. Only a slumlord would be interested in the properties that I saw. So, I wasted a good weekend chasing after something that was a total waste of time for me.
However, I did get an education on what my county has to offer in way of Tax Sale properties.
I would suggest you do the same thing in your county before spending a lot of time looking at court cases. Now, there are people who do find diamonds in the rough at Tax Sales,...I am just not one of them.
--69.244.xx.xx |
Tax Liens/Deeds (by jam [AL]) Posted on: Sep 7, 2013 2:45 PM
Message:
Keith, could you list some of the pitfalls you've encountered or know about and quote some case law examples? I think Jeffrey may just want an open discussion so everyone can benefit. Thank you so very much in advance for your response. --208.54.xx.xxx |
Tax Liens/Deeds (by jam [AL]) Posted on: Sep 7, 2013 3:10 PM
Message:
Roy, Thank you. I did similar to you and found a property in a good location. The neighborhood may look questionable to people who don't know. The house was vandalized badly but I think in the long would be worth the hassle if I ended up with it. Now I just need to know what I can do to protect the property and my investment while I "wait and see" on redemption. Thanks again for all your input. --208.54.xx.xxx |
Tax Liens/Deeds (by jam [AL]) Posted on: Sep 7, 2013 3:11 PM
Message:
I don't think the prior owner or the mortgage co. is interested in redeeming but, of course, you never know and I'm not wanting to find out the hard way. --208.54.xx.xxx |
Tax Liens/Deeds (by Roy [AL]) Posted on: Sep 7, 2013 4:16 PM
Message:
Jam,
According to my attorney, someone coming back after 3 years and paying off all back taxes, plus 12% interest, plus any other related liens associated with that 'junky property' is extremely rare. It has happened before but you would have a greater chance of being struck by lighting.
Anytime you buy a fixer-upper, regardless of whether you won a tax sale auction or bought a bank foreclosure,...you are taking a calculated risk that you can cure whatever future problems or issues that house may have. It is the nature of the business. If by chance, you bite off more than you can chew,..well,...you can put the house back on the market and sell for whatever you can get for it. It is called an Exit Strategy and you should always have one in the fixer-upper business.
Jam -if you will give me more details about this vandalized house,..like the estimated repair cost, quality of neighborhood, re-sell value after rehab OR what will this house rent for once fixed,..I can advise you on what your next move should be. Is this house in your 'possession' right now? Have you paid the past due taxes on it yet and received some type of document that gives you permission to work on the house for the next 3 years? --69.244.xx.xx |
Tax Liens/Deeds (by Roy [AL]) Posted on: Sep 7, 2013 4:25 PM
Message:
Jam,
One other thing that may ease your mind. If you can locate the previous owner who has the redemption rights, you can ask him if he would be willing to sell you his redemption rights. Negotiate with him and if you all can come to an agreement that he will forfeit his redemptions rights for a X number of dollars, write it up and have him sign it. Then you are off the hook and don't have to worry about him coming back on you in 3 years.
I have seen this done for as little as $150.00. You may even want to get an attorney to write the redemption rights forfeiture document. --69.244.xx.xx |
Tax Liens/Deeds (by keith [AL]) Posted on: Sep 7, 2013 6:33 PM
Message:
honestly- there is more to this subject than i could ever share here. but i will share it with you if you can find my # and call me. Go ahead and make application to the state for the property- (i am guessing its on the state list?) this will take them several weeks to a few months to reply to your request. What things make you think this place cant sit for another 2 years? What if you boarded it up and only did the "preservation maint" items until the 3 year redemtion period expires? Like Roy said- if there is a mortg company involved and they didnt pay the taxes- then chances are aint nobody coming for it. Too many variables really. Again i would research why it was abandoned,try to find the owner, and go from there. --98.89.xx.xxx |
Tax Liens/Deeds (by Jeffrey [VA]) Posted on: Sep 8, 2013 4:48 AM
Message:
jam, I greatly appreciate you encouraging everyone to respond to your questions right on the forum so that many others can continue to benefit from the ideas and tips shared. More ideas come to the surface this way from various parties that others visitors could see that would not come out otherwise. That's one of the big reasons this forum provides so much value to those who contribute and visit regularly. --108.39.xx.xxx |
Tax Liens/Deeds (by jam [AL]) Posted on: Sep 8, 2013 12:23 PM
Message:
Thanks Roy and Keith. Great and helpful info.
Thank you Jeffrey. I very much appreciate this forum and your generosity in allowing us to use it to exchange ideas and grow our businesses. --208.54.xx.xxx |
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