Thank You Mr. I Don’t Know

[Chris Seveney]

Got to give a shout out to a tax lien investor who had some random gmail address and went by the name Ben.

So, one of the unique things about note investing is when you buy a pool of assets is sometimes a seller is closing out their fund and will include assets that have no value.

back in 2020 when I bought a pool of assets, there were some assets included where the tax balance was greater than a property value. Therefore, it did not make sense to foreclose on these assets, nor keep them at a surface. So what I do is, I stick them in a file in check on them every one to two years.

Earlier this year, Ben reached out to me, wanting to buy the note on the property. I thought this was strange, and they commented they wanted to buy it because they had a large gain and wanted to buy it to offset these gains.

This was an immediate red flag. So I go dig out the file and do some research. Back in 2020 taxes owed or approximately $20,000 and the property value was worth around 30,000. Fast forward to 2024 when prices appreciated significantly, And I found out the property was sold at tax sale. At the time the taxes owed was approximately $40,000. The property sold at tax sale for $100,000. Thus, leaving $60,000 available for the note holder to claim.

I did not sell the note to Ben (who offered me $30k for it which again another red flag). I had my attorney file the proper paperwork to redeem the overage, which was recently granted.

So I don’t know who you are, but thank you, Ben

I would have eventually discovered this but not as early as I did.

[Don Konipol]

Quote from @Chris Seveney:

Got to give a shout out to a tax lien investor who had some random gmail address and went by the name Ben.

So, one of the unique things about note investing is when you buy a pool of assets is sometimes a seller is closing out their fund and will include assets that have no value.

back in 2020 when I bought a pool of assets, there were some assets included where the tax balance was greater than a property value. Therefore, it did not make sense to foreclose on these assets, nor keep them at a surface. So what I do is, I stick them in a file in check on them every one to two years.

Earlier this year, Ben reached out to me, wanting to buy the note on the property. I thought this was strange, and they commented they wanted to buy it because they had a large gain and wanted to buy it to offset these gains.

This was an immediate red flag. So I go dig out the file and do some research. Back in 2020 taxes owed or approximately $20,000 and the property value was worth around 30,000. Fast forward to 2024 when prices appreciated significantly, And I found out the property was sold at tax sale. At the time the taxes owed was approximately $40,000. The property sold at tax sale for $100,000. Thus, leaving $60,000 available for the note holder to claim.

I did not sell the note to Ben (who offered me $30k for it which again another red flag). I had my attorney file the proper paperwork to redeem the overage, which was recently granted.

So I don’t know who you are, but thank you, Ben

I would have eventually discovered this but not as early as I did.

Great deal!.  We NEED these to offset the extra legal fees, unaccounted for damage, and unrealistic high appraisals of some of the other deals we invest in!  Everybody thinks “he got an UNDESERVED windfall”.  Nobody worries about the $65k I just paid in legal fees to finally get ownership of 2 properties that the borrower hasn’t made a payment on in almost 3 years!