Forecast Real Estate Markets
Assessment of the underlying real estate when investing in tax liens or deeds is one of the most important aspects of managing such investments. We currently have due-diligence experience in 15 states and various counties within those states. We will take your list of sale properties or create one for you by retrieving the list of liens or deeds to be sold at the auctions or in a secondary market purchase, assess which parcels should be considered in purchase, map those properties, and efficiently and economically do the physical due-diligence on each parcel. A bid book can then be created for efficient auction organization and participation or formulate an offer for bulk auctions or secondary market purchases.
We can provide various levels of involvement when it comes to due-diligence services so you will have to contact us for specifics on contract rates.
Primary Market Acquisitions
minimum investment - $500,000
Municipal Bulk Offerings
Sales by which cities, towns, or counties auction off a portfolio of liens usually held on properties/land that are associated with one another or are all from the same city, county, or township. These sales are for larger institutions
due to the capital and resources required to offer competitive bids. Since you are bidding on the entire pool, the risk is in the properties that will be of no value upon foreclosure and there are problems in assessing the rate of redemption for the rest of the liens that do pay off. Another problem is communication with such municipalities. That can be pretty tough sometimes!
minimum investment - $10,000,000
We have 40 years combined experience in the industry. If you are a financial institution considering utilizing the tax lien industry as a new investment vehicle, whether as a company private portfolio or as an investment pool offered to the public, a detailed investigation into how this might fit your company's focus or investment criteria is highly recommended. We can show you the pitfalls from typical mistakes that are made and the specific risks involved. We can also help you learn how to maximize your returns and manage your portfolio with maximum efficiency. A detailed report of the statutes and pros and cons of the states you are considering purchasing from will be provided as well.
Fees start at $25,000 per state
BEWARE - Many 'Tax Lien Agents' will purchase assets for you that they may have never done the due-diligence on or purchase liens at very low rates so that the money gets spent. Many times you are left 'High & Dry'.
If you hire a tax lien agent, ask the following:
1. What is your experience at auctions?
2. Which states do you plan on using my money in?
3. What kind of due-diligence do you carry out before the auctions on the lien you plan on bidding on and how is that done?
4. What is you 'floor' or 'ceiling' (if in a bid down state, how low will you bid down to? / if in an overbid state, how much of the assessed value will you bid up to?) at a particular auction?
5. Do you purchase liens that have prior taxes on them?
6. What kind of help do you offer once it is time to file deed?
If they claim to have a certain % return for their current clients, ask them if that clients portfolio has paid down to the original investment? If it has not, then they have no ability to predict the outcome of the rest of the portfolio.
FOR THOSE OF YOU WHO READ THIS TOO LATE - we may be able to help in one of two ways.
A. We may be able to assess what your assets actually are and the likelihood of redemption or foreclosure.
B. We may be able to determine what other taxes and costs it is going to take to foreclose on those assets.
C. We may be able to sell those assets to another party for you.
FEES - if you are not in a bind or do not care what assets you own, we would not recommend spending the money to carry out these tasks. However, if you feel so inclined to do so, please contact us. We will let you know what we can do before we accept the work. Fees are as follows:
Research & Assessment - $70 per hr
Sale of assets - 5% of total value of any sale
Some negotiation is available to clients with sizable assets, but you should expect these fees to apply before contacting us. Thank You.