Online deed sales in Michigan have ended, as have online tax lien sales in Colorado. So where are online tax sales now?
There are still a ton of online sales in November and December, most of them are Florida deed sales, but there are also a couple of online tax lien sales in New Jersey and a couple of online tax lien sales in washington state Here’s what you need to know about these tax sales.
New Jersey
Online tax lien sales in New Jersey are conducted at realauction.com. The minimum amount you must have to participate in these tax sales is $10,000. This is because the minimum deposit to participate in these sales is $1000 and is considered 10% of your budget. If you only deposit the minimum of $10,000, the auction platform will allow you to continue bidding until you reach your budget of $10,000. You must have that amount to pay your successful bids immediately after sales tax, or you will forfeit any successful bids and be will prohibit future tax sales.
You should also know that the bidding system in New Jersey is different from all other states. They don’t just bid down the interest like they do on Arizona or Florida sales taxes, or raise the premium like they do in Colorado or Indiana. In New Jersey, bidders will first bid the interest rate down to zero and then bid a premium on tax liens. If the premium is paid for a tax lien, the lien purchaser does not receive any interest on the amount of the certificate or any interest on the premium; however, the premium is returned to the investor upon redeeming the tax lien if the lien is redeemed within 5 years. from the sale of taxes. The reason investors are willing to offer a premium and receive no interest on the certificate amount is that once they have the lien, they can pay subsequent taxes (if the property owner doesn’t pay them). and get the default payment. rate (18%) on your secondary tax payments.
Only a handful of NJ municipalities have online sales right now, but more are coming online every year. There are only a couple of NJ tax sales from now until the end of the year. However, this is a busy time for tax sales in NJ, so I expect there to be more online NJ tax sales this time of year for years to come.
Florida
In Florida, lien holders can’t actually foreclose on the property after the redemption period ends. Instead, they have to request the link to enter a deed sale. The property is then sold to the highest bidder at the sale of the deed. Because of this system, there is a continuous supply of properties for sale on deeds in Florida, and sales on deeds can take place quite frequently, even more than once a month in some counties. Although about 90% of Florida counties have online tax lien sales, only a few counties have online tax lien sales. Some of these sales are at http://www.RealAuction.com. What you need to know about tax deed sales in Florida is that deals don’t always start with back taxes owed. If the property is a family property, the minimum offer must be 50% of the appraised value of the property.
Washington
Only a handful of Washington counties have their tax deed sales online. Most of these tax sales are done at http://www.bid4assets.com/. Usually there are not many properties available at these auctions. The initial offer is the amount of back taxes and penalties owed. Some of these tax sales do not require a deposit in order to bid. The full amount of successful offers is due within a short time (usually a day or two) from the end of the tax sale and must be paid by cash, cashier’s check or wire transfer. A treasurer’s deed is issued within 30 days of the tax sale, and the deed is recorded (fees for this are included in the minimum offering price). Since any minor or incompetent person claiming an interest in the property has 3 years from the date of sale to redeem the property, you may not be able to obtain title insurance for 3 years.