This economy has shown us that what goes up must come down and what has done that better than real estate.
This harsh new reality has created homes with mortgages that are bigger than the value of the house.
While many people look at this as a bad situation you can actually become wealthy from it.
More people than ever are having trouble paying their bills.
This leads to not only mortgages being not paid but taxes on the homes defaulting.
How can you become rich? Simple really, you invest in these tax liens.
The concept is simple, a homeowner cannot pay their property taxes and a lien is placed on their home.
If the owner does not pay off the lien with a set period of time that is established by local laws the liens are sold to investors.
For less than $2,000 in most cases you can buy the tax lien and have the potential to get ownership in the house in the even of the homeowner default to you.
So there are only two possible outcomes from your tax lien investment.
1.
The homeowner will pay you the amount owed with interest or 2.
The homeowner defaults on your loan and you get the ownership of the house to rent or sell.
So in a worse case scenario you get all your money back with interest or get a home for the few thousand dollars you invested in the tax lien.
This is what I call a win-win situation.
Investing in these liens will make you rich since it is really a game of sheer numbers.
The more you invest in the better your chances are of getting homes and becoming wealthy.