Tax Lien certificates

[Mary McGinty]

Has anybody participated in tax lien certificates? Can you please share your pros and cons

Thank you Mary

[Matt Ellis]

Just learning about it now. Have not purchased one yet but am going to a weekend long seminar this weekend to learn all about it.

Different states and counties have all different rules. Tax deed state, tax lien state, tax redemption states. Best to focus on one area and master that to begin with it seems so you don't get too overwhelmed. Tax liens can be a good source of passive income, but come with some not so obvious risks such as other liens(IRS) holding a first position to your lien certificate that would need to be paid off by you if the property gets foreclosed on and you now hold the Deed. Another con is your money can be tied up for years