The delinquent tax payer redeemed 5.5 months after the tax sale, so I received 6.4% interest on my original investment as the yearly interest rate in Carroll County is 14% . 

The delinquent tax payer redeemed 5.5 months after the tax sale, so I received 6.4% interest on my original investment as the yearly interest rate in Carroll County is 14% .

I have a tax deed on a vacant acre of land and the taxpayer indicated she wants to redeem the property.What paperwork is needed to convey the property back to the taxpayer after they have agreed to the redemption amount and what are the steps in this process for me as an investor?

Man, taking OPM to the next level, I see.The capitalist in me says, go ahead, save every dollar you can, however you can.The taxpayer in me thinks you're a jerk if you can afford your lifestyle and invest in properties.

@Corinna Gossner Any tax paying entity - corporation, partnership, trust, LLC or single or multiple tenants can do 1031 exchanges. 

For some reason, the IRS does not like taxpayer getting a break (i.e. lower tax rate) on gain that was generated by depreciation, so the IRS decides to take back the tax break on the portion of the gain that is generated by depreciation, hence the term "depreciation recapture".

As a matter of fact, if a taxpayer redeems then insurance premium is specifically permitted to be included in the redemption price.Check your state's insurer of last resort of Lloyd's. 

However, you don't really get to keep any of your property tax payments at the end of the mortgage cycle.

Flipping houses regularly in such a plan does incur tax known as UBIT since the tax exempt entity is conducting a business and competing with taxpaying businesses as opposed to just making passive investments.  

Opportunity Zones can be used to minimize tax payments or even reduce to zero.Opportunity Zones were created under the TCJA to; Allow U.S. investors to defer all 2018 capital gains for eight years if the profits are reinvested and held in an Opportunity ZoneLower the amount of capital gains taxes resulting from the sale of a capital asset by 10% or 15% if the proceeds therefrom are held for five or seven years, respectively, in an Opportunity Zone project.Provide for a full exemption from capital gains taxes on all future capital gains on the invested funds if an investment is held for ten years following investment.