In one form or another, almost every county government offers tax lien sales on properties. The government seizes these properties by delinquent homeowners who didn’t pay real estate taxes within a specific time or even not at all. Public auctions are held as a way for the government to make up for the taxes owed.

A person who wins a bid at real estate auctions can purchase the property at an amount which is lower than its actual market value. Every state has different laws and way on conducting such sales which is why you need to conduct some research on your own if you plan to buy tax liens.

Basically, you must learn everything you can about property tax laws, tax foreclosure process, redemption periods, and other aspects of real estate. You can find many resources on the internet as well as books talking about the subject. You would surely get the helpful information that makes buying tax lien certificates a breeze.

Contact the county where you plan to buy such properties. You can visit the county’s website or call them. After doing so, they can tell you when and where such auctions are taking place. They can also provide you a listing of the properties for sale. You can also find the auctions as it is published on local newspapers.

You should go see the property in person if you’re planning to bid on it. If you bid on it and win, it is yours. You can make improvements on it and maybe do some renovations. You can also keep it as a rental property or resell it in the future. Furthermore, to buy tax liens offers you the chance to move in yourself to that property.

Government tax lien certificate is the one that you should be looking for if you’re aiming for a low cost investment property. Tax liens are placed on a property when a real estate agent or delinquent homeowner doesn’t pay his real estate taxes to the city government. Thereafter, the government sells the property by holding an auction and they sold it to the highest bidder. The new owner now has the responsibility to take over the liability of paying the real estate tax arrears.

Getting in touch with the local county tax collect enables you to get a list of all the properties which are in government tax lien. Information on auctions and real estate biddings are announced on public via the local newspaper or websites. Through this you would know when the government intends on holding the next auction of the tax lien properties.

When it comes to the day of bidding and purchasing the real estate properties, all county governments have their own set of rules. Some of them might want the buyer to be present during the auction and pay cash in person for the property. That is why it’s very important to know these rules in advance by checking online as it is available. This assures you of not ruining the tax liens opportunity that’s on stake.

This type of real estate investment is also intended to those people who are really wanted to own a home of their own. Tax liens properties are a sure way of getting one as you can get the property for lower than the market value. You would still be saving lots of money even after paying the taxes.

Many people from all over the world ask this question, “Can anyone outside the United States invest in tax liens and tax deeds?”

Well, the answer is a yes.

All that person needs is a US TAX Identification or ID number, which is fairly easy to get from the IRS. What’s even great about it is – even foreigners have the opportunity to invest in tax liens and deeds. But of course, an investor not from the United States has to have all the needed due diligence in order to join the bidding. Here are a few samples of the most significant things one must have:

• Location
• Value
• Property Condition

Since international investors are away from the subject properties that are to be placed in auction, one cannot be in person near the site.

There are two choices that a potential buyer outside the country can do:

1. Have the due diligence through phone. With advanced software tools like Google Earth, counties can very well provide picture databases and map quests or MSN Live Search
2. Hire a Real Estate professional who can very well visit the property for you, take some pictures for you to check out, and do research for the investor.

Now, there are also cases wherein counties or states hold their auctions online and investors, inside or outside the country, can attend to. But again, the investor needs a real estate professional to check out the property or have the due diligence over the phone prior to bidding. Remember, it is always needed to see the property you plan to invest in.

The international investor can also just wait for the actual auction to be over and then ask for the list of the leftover properties known as over-the-counter tax liens. These tax liens are commonly available without the need to bid but by just mailing a cashier’s check with the details of the Tax Lien ID, the investor’s Tax ID, the Property ID, and Bidder ID. The county will then send the investor the Tax Lien Certificate of the property.

With today’s technology, investors from all over the world can now purchase tax liens and tax deeds in the United States.