Investing in tax lien properties at 19?

[Ethan Davis]

Hey bp forum. I would like to know if putting 20k into tax lien property investing would be enough money to be able to create financial freedom through that business model? Thanks guys.

[Bruce Lynn]

Any niche is typically a long term wealth builder, not a get rich quick scheme.  You start small, grow slowly, and become wealthy over time when you find the secrets and implement your strategy consistantly over time.

Not sure where you are or if your location has liens or deeds...but let's say your location sells deeds and with competition bidding you win some with 1% rate of return.  So your $20,000 will be tied up for 1-2-3 years and you'll be making $200/year.   Maybe you get lucky and you're the only one who shows up and you win one with 10% interest the 3 month or the 3rd year, so now you're making $2000 on that one.   You can do the math, but maybe by year 10 or year 20 you're making some real cash.   Starting younger than many you have more time to build that wealth vs starting at 40 or 50 years old.   Also you start with $20,000 this year, and add another $5,000 or $10,000 a year for the next 10 years, now you can bid on different liens or properties after the 10 years.  Maybe then you have $150,000 to invest at the sale.

Hopefully where you are has the auctions in person and not online.  Go and watch 2-3 times.  Talk to everyone.  See what they bid on, ask them why?  Ask them who the gurus are?  Find the oldest guy in the room and go sit next to him and pick his brain.  Offer to buy breakfast or lunch or share a water bottle or coffee with them.  That's how you find a mentor to show you all the ins/outs/ropes.

Good luck and best wishes.