Hi this is Saen Higgins. I want to talk a little bit about Indiana. We're in full swing right now here in March on Indiana commissioner sales. Let me explain what a commissioner sale. Let me explain what a commissioner sale is, this is going to be a real brief blog. This is going to be a BB: brief blog.
Anyways, in a commissioner sale what happens is these liens have already been to sale they didn't sell. So finally the county says okay enough is enough. What we are going to do is we're going say we will give 10% penalty. It's 120 day redemption and the end of 120 days if the person does not redeem you get the property or you could foreclose on the property. Now there is a paperwork that needs to be done as a lien holder up until that 120 days. If you don't file that paperwork in the correct order and they will help you at the county, they will help you with knowing the process, they won't do it for you. Okay you're going to have to hire an attorney. The point is, it's a 10% penalty. So if they redeem the first month or the second months it's still 10% and you can do the calculation of what your annual rate of return is from there.
But this is a unique thing, you're buying the property. Don't kid yourself. It's very unlikely that most of them are going to redeem. Now I will give you an example. There was a $250,000 that I saw that had $50,000 in liens but the commissioner sales says okay look, if nobody bought it at $50,000 let's reduce it down to say $10,000. So the opening bid was $10,000. It sells for $20,000. So now the property owner is not responsible for $20,000. They are still responsible for the full $54,000 plus penalties and the county would have given back the $20,000 plus 10%. But let us be realistic. If they haven't redeemed before, what makes them redeem right now. You are buying the deed to the property.
Here is the cool thing, at $20,000 if I'm the successful bidder and they don't redeem in a 120 days I get the property for the $20,000 plus foreclosure fees and everything. I don't have to pay the additional $30,000 in taxes. In other words the county forgives that. That is the incentive for me and you and me as investors to go in there and make that happen. So it's a little complicated, but it's not. It actually makes a lot of sense. Everybody wins. They've given the property owner ample amount of time to pay. This is years and years. At this point it has gone to several sales and the county is saying enough is enough now is time to pay. You as the investor gets 10% penalty remember. They redeem the second day or the last 120th day you get 10% on your money which is a substantial rate of return or you get the property back. But remember like I have said in video after video educate yourself. Make sure you know how Indiana works to truly make this wealth without risk. This is Saen Higgins saying commissioner sales rock.
Anyways, in a commissioner sale what happens is these liens have already been to sale they didn't sell. So finally the county says okay enough is enough. What we are going to do is we're going say we will give 10% penalty. It's 120 day redemption and the end of 120 days if the person does not redeem you get the property or you could foreclose on the property. Now there is a paperwork that needs to be done as a lien holder up until that 120 days. If you don't file that paperwork in the correct order and they will help you at the county, they will help you with knowing the process, they won't do it for you. Okay you're going to have to hire an attorney. The point is, it's a 10% penalty. So if they redeem the first month or the second months it's still 10% and you can do the calculation of what your annual rate of return is from there.
But this is a unique thing, you're buying the property. Don't kid yourself. It's very unlikely that most of them are going to redeem. Now I will give you an example. There was a $250,000 that I saw that had $50,000 in liens but the commissioner sales says okay look, if nobody bought it at $50,000 let's reduce it down to say $10,000. So the opening bid was $10,000. It sells for $20,000. So now the property owner is not responsible for $20,000. They are still responsible for the full $54,000 plus penalties and the county would have given back the $20,000 plus 10%. But let us be realistic. If they haven't redeemed before, what makes them redeem right now. You are buying the deed to the property.
Here is the cool thing, at $20,000 if I'm the successful bidder and they don't redeem in a 120 days I get the property for the $20,000 plus foreclosure fees and everything. I don't have to pay the additional $30,000 in taxes. In other words the county forgives that. That is the incentive for me and you and me as investors to go in there and make that happen. So it's a little complicated, but it's not. It actually makes a lot of sense. Everybody wins. They've given the property owner ample amount of time to pay. This is years and years. At this point it has gone to several sales and the county is saying enough is enough now is time to pay. You as the investor gets 10% penalty remember. They redeem the second day or the last 120th day you get 10% on your money which is a substantial rate of return or you get the property back. But remember like I have said in video after video educate yourself. Make sure you know how Indiana works to truly make this wealth without risk. This is Saen Higgins saying commissioner sales rock.
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