Texas Tax sales - Posted by Andy

Posted by John Merchant on July 17, 2003 at 21:11:10:

Books? Man, all you need to do is go to one or two auctions and watch. Or go lean over the counter and chat with the Deputy Sheriff who conducts the auctions and chat with him/her, also talk to one of the clerks in the tax office…you’ll know all about them within a day or two.

Nothing complicated about them. The buyer holds the tax lien certificate until/unless it’s redeemed by tax non-payer. He has 2 years to do so. During year 1 he has to pay the amount you paid, plus 25%, which goes to YOU. During year 2, it’s 50%, which goes to you.

If he doesn’t redeem, the RE is yours.

Oh yes, cash is required at auctions…what a lot of smart buyers do is take a handful of cashiers checks, or money orders, in different demoninations, so they’ll be prepared to give them to the Deputy Sheriff if they have the highest bid.

Biggest problem? Checking out the MANY properties that are on the list Wed & Thurs afternoon, then finding that 90% have been redeemed before the Fri AM sales! Normally only one or two eek through to the auction.
What is there about this that would require a book?

Oh, and if you’ll get on Google and search for TX Tax Liens Statutes, you’ll be looking at TX Statutes in a few minutes, which you can then print and read…all FREE!

Good luck and I hope you end up with a major chunk of S TX RE for your trouble.

Texas Tax sales - Posted by Andy

Posted by Andy on July 17, 2003 at 17:27:41:

I am a Newbie and I am interested to invest in Texas Tax sales in Travis County.Anyone having experience in this area can shed some lights .

Which course is better?
Texas house for pennies by Darius OR
"Fun and Profit in Tax lien" by Roy S.?

Thank you.

Re: Texas Tax sales - Posted by jasonrei

Posted by jasonrei on July 18, 2003 at 17:34:25:

I have bought a handful of properties at mortgage foreclosure auctions. Like Ron says, here in TX the tax and mortgage sales are on the same day. In my county the tax deals start early, and the mortgage deals trickle in separately. There is a TON of activity in the tax sales, I assume because you can buy for under $10k which is what most folks have.

I’m interested in tax sales, too, but I don’t want to wait 6-24 months to take title. Plus more research is required than I’m willing to take on. That said, I know of a lot of guys who buy those things, and they make a LOT more than me, so there must be money in it.

Re: Texas Tax sales - Posted by Ronald * Starr(in No CA)

Posted by Ronald * Starr(in No CA) on July 17, 2003 at 23:01:35:


Why not buy both? If you are really serious about the area, you get your hands on as many different explanaitions as you can, in my opinion.

I have the Stubblefield volume. It is mediocre in my opinion. The price seems way too high these days to me. But then I am a tax sales cheap skate.

I am suspicious that the post purporting to be from John Merchant is false. There are a couple of major errors in the post that makes it sound like somebody who does not know much about Texas tax sales.

First, in Texas, there is no tax lien or tax certificate. You get a sheriff’s deed to the property. There is a right of redemption, 6 months for most properties, 24 months for agricultural and homesteaded properties. There is a penalty of 25% the first year and 50% in the second year. It is a penalty, not an interest rate, so you could get the 25% in a month or less, if he property is redeemed soon. I bought a property in Waco a few years ago and was redeemed out in about three or four months at the 25% rate.

All foreclosures in TX take place on the first Tuesday of the month, including tax sales.

I disagree about just looking at a couple.

There is also a volume on the TX tax sales by John Beck at www.johnbeck.net website.

I think that the Darius book has a money-back guarantee. If you are going to get just one of the ones you mention, I’d try that one first. If you are not satisfied, return it and get another. There are some pretty poor books out on tax lien investing. I have not seen the Darius book, so cannot comment on the quality.

Good InvestingRon Starr***

Re: Texas Tax sales - Posted by Bill H

Posted by Bill H on July 17, 2003 at 21:25:41:


The Texas sttatutes are at :http://www.capitol.state.tx.us.statutes.html

When you get there search on “Tax Sales” I believe it is in Section 1520 or 1250 of the statutes. It is all explained…saved you the cost of the course.

Good Luck,

Bill H