How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

Ask Ray Your Own Question

Ray
Ray, Lawyer
Category: Real Estate Law
Satisfied Customers: 30310
Experience:  Texas Attorney for 29 years dealing in real estate
8534270
Type Your Real Estate Law Question Here...
Ray is online now
A new question is answered every 9 seconds

pros and con on buying tax lien and tax deed?thank you

Customer Question

pros and con on buying tax lien and tax deed?thank you
Submitted: 1 year ago.
Category: Real Estate Law
Expert:  Ray replied 1 year ago.

 

Thanks for your question and good morning.

 

 

Tax liens sales have the risk that they are usually giving you only a tax deed.In other words they do not warrant good title and it is possible there are prior liens, judgments, etc that may cloud it.You are then responsible here for filing a suit to quiet title and that can involve a lot of lawyer fees and months of time.

 

This isn't always the case--you can use a local title company yourself to do a title run on any property you are considering purchasing.By doing due diligence you can know what you are purchasing.And if you get it cheap enough even a suit to quiet title here may make it worth it.The outcome of such a suit if the court awarding you clear title free of liens.

 

If you will go slow here, read about the properties and locate say a local title company that will do a run sheet, possibly attend some sales and meet some people and get information about the process in your area before you actually jump in you would do fine.You just need to proceed slowly and learn the tax sale business.

 

Also almost all counties have published terms of sale and these cover if there is any right to reclaim property under state and local law and also if you get a tax deed here rather than say a warranty deed .They also should set out how they go about doing a diligent search and notifying the lenders that might have liens on the property as well.

 

Again with some time on the front end to learn the business here you can find some great bargains.

 

I appreciate the chance to help you today.Please let me know if you have more follow up.Thanks again.

 

 

RayAnswers41510.6497987847
Expert:  Ray replied 1 year ago.

Here is more reference on the subject and possible pitfalls.

http://www.landforpennies.com/hparticles/5.php

 

 

Here is free club that are tax lien buyers that you can join and learn from and engage in discussion.This might be real helpful since you are new here.

 

 

http://taxliencoach.tumblr.com/

 

Thanks again.

 

 

I hope that you will be so kind as to leave a positive rating. If you do have any additional questions about my answer please click the "Continue Conversation Link" so I can provide you with a fully satisfactory answer. Please be aware that any rating of 1 or 2 is reflected as a negative rating and I receive no credit for my answers.

 

 

 

 

 

 

 

 

 

This communication does not establish an attorney-client relationship.Information provided here is not legal advice. Rather it is simply general information.

Customer: replied 1 year ago.

can we review the county record ourselves to see if any liens are applied to the property and would that be as good a a title co search.

Expert:  Ray replied 1 year ago.

Yes you can but you have to look at several things.First the deed records show the notes that are owed, the abstract of judgment records to see if they were sued here and there are judgments including IRS.If you do that you would have a good picture.

The other problem with these problems is that you get a tax deed.You cannot say flip a house for full value with such a deed.With a suit to quiet title then the court awards you a clear title.Then it i s marketable like any other house.I point this out only if you are wanting to flip houses.It's only a long term problem if you are going to homestead it and stay awhile but just know that it is a potential resell problem.

But if you take some time here and also learn your market to know what a true"deal" is you will be fine.And consider going to a sale or two and talk to buyers.You can learn a lot from them .They are usually willing to talk about their experiences and its free information.Remember overall you are trying to become an educated person knowing about the process, its limitations, and then the property research including the market.If you do that there are real bargains to be had.

I have friends that do this for a living.They buy in , live in it and remodel it and flip very few years and avoid any capital gains because they occupy it.

Thanks for letitng me help you.

Customer: replied 1 year ago.

thanks for your expertise, I appreciate it.

Expert:  Ray replied 1 year ago.
You are so welcome.I wish you the best here.
Ray, Lawyer
Category: Real Estate Law
Satisfied Customers: 30310
Experience: Texas Attorney for 29 years dealing in real estate
Ray and 7 other Real Estate Law Specialists are ready to help you

JustAnswer in the News:

 
 
 
Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.
 
 
 

What Customers are Saying:

 
 
 
  • Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises! Gary B. Edmond, OK
< Last | Next >
  • Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises! Gary B. Edmond, OK
  • My Expert was fast and seemed to have the answer to my taser question at the tips of her fingers. Communication was excellent. I left feeling confident in her answer. Eric Redwood City, CA
  • I am very pleased with JustAnswer as a place to go for divorce or criminal law knowledge and insight. Michael Wichita, KS
  • PaulMJD helped me with questions I had regarding an urgent legal matter. His answers were excellent. Three H. Houston, TX
  • Anne was extremely helpful. Her information put me in the right direction for action that kept me legal, possible saving me a ton of money in the future. Thank you again, Anne!! Elaine Atlanta, GA
  • It worked great. I had the facts and I presented them to my ex-landlord and she folded and returned my deposit. The 50 bucks I spent with you solved my problem. Tony Apopka, FL
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
 
 
 

Meet The Experts:

 
 
 
  • Tina

    Lawyer

    Satisfied Customers:

    4813
    16 years of legal experience including real estate law.
< Last | Next >
  • http://ww2.justanswer.com/uploads/MU/multistatelaw/2011-11-27_173951_Tinaglamourshotworkglow102011.64x64.jpg Tina's Avatar

    Tina

    Lawyer

    Satisfied Customers:

    4813
    16 years of legal experience including real estate law.
  • http://ww2.justanswer.com/uploads/LA/lawpro/2012-6-25_171315_PT206740s.64x64.jpg Law Pro's Avatar

    Law Pro

    Lawyer

    Satisfied Customers:

    6227
    20 years extensive experience in real estate law, foreclosure, finance, and landlord tenant law.
  • http://ww2.justanswer.com/uploads/BA/barristerinky/2012-6-10_22423_office.64x64.jpg Barrister's Avatar

    Barrister

    Lawyer

    Satisfied Customers:

    4966
    13 years real estate, Realtor. Landlord 24+ years
  • http://ww2.justanswer.com/uploads/LA/LawTalk/2012-6-6_17379_LawTalk.64x64.JPG LawTalk's Avatar

    LawTalk

    Attorney

    Satisfied Customers:

    4446
    I've more than 27 years legal experience. Additionally, in CA I held a Real Estate Broker's license.
  • http://ww2.justanswer.com/uploads/RA/rayanswers/2012-6-7_23346_Untitled1.64x64.jpg Ray's Avatar

    Ray

    Lawyer

    Satisfied Customers:

    4030
    Texas Attorney for 29 years dealing in real estate
  • http://ww2.justanswer.com/uploads/PH/philip.simmons/2012-6-7_161915_BIGPhilipSimmons.64x64.jpg P. Simmons's Avatar

    P. Simmons

    Lawyer

    Satisfied Customers:

    2377
    12+ yrs. of experience including real estate law.
  • http://ww2.justanswer.com/uploads/mnphillips2/2009-03-13_203105_10984459-249293407.jpeg Phillips Esq.'s Avatar

    Phillips Esq.

    Attorney-at-Law

    Satisfied Customers:

    2355
    B.A.; M.B.A.; J.D.
 
 
 

Related Real Estate Law Questions

Chat Now With A Real Estate Lawyer
Ray
Ray
Lawyer
4774 Satisfied Customers
Texas Attorney for 29 years dealing in real estate