What Methods Should One Use?

The methods for making money in real estate are myriad. To name a few: REIT's (Real Estate Investment Trusts), buying undervalued real estate to rehab and resell, buying a property and making it into a rental and other options as well. Whether you buy the property through tax liens or through tax deeds, you will need to decide how you want to conduct your business.

Rehab was out for me. I am not a carpenter and to really make that work for you, you should be able to do much of the work yourself. I had to evaluate what I could do financially and physically. I went with tax defaulted land. And it worked out great!

I wanted to work at it from home. That meant -- my computer. That made the entire U.S. accessible to me. But I was not ready to buy houses sight unseen. So I purchased nice vacant lots in resorts that had exciting amenities and Property Owner Associations. I learned to negotiate with taxing authorities in a few counties in a few states to buy their tax deeds on defaulted properties.

As I got better at it and more comfortable with it, I did purchase a few houses. That was much more complicated but the profits were much greater. When you start at the beginning and purpose to learn each step of the way, you can grow into more advanced areas and techniques.

Along with the direction that I will be providing, I am going to direct you to products and professionals so that you will be able to go forward avoiding the pitfalls that many fall into. Some of them will have actual tax lists that provide you with the actual defaulted properties and the taxing authority that you will buy from. They will have tax lien lists and tax deed lists. You can do this business locally or nationwide.

I have used mostly tax Deeds in my business, but other investors prefer Tax Lien Certificates. You can use both. Stay tuned ...