Tax Liens VS 1st Position Notes

[Martin Sterling]

Recently I had a conversation with someone who was saying that tax lien investing is safer and more lucrative than Note investing. That tends to not be my understanding since I've been studying and networking with people who are into notes. I wanted to know the BP position on this.

Specifically, when the note strategy is 1st position with clear title, 40-50% discount, from UPB or FMV (verified by BPO) whichever lower, 12 month foreclosure state, owner occupied. You immediate foreclose, then set up a forebearance if borrower responds. If not, take ownership and sell to local investor.

How does a tax lien compare to that?

Thanks in advance.