Orange County Tax Deeds

Feb_5_2009_Org_Tax_Deed_sale_house_sold_31k_textIn February, a Tax Deed sold on a 2br/2ba house for $31,000 at a local sale. The house on 595 Swallow Court in Apopka was built in 1989 and had two mortgages. It is listed in the public records as a 2 Bedroom 2 Bath but it may have been converted to a 3/2. Usually, the bank pays the taxes to prevent losing it at the Tax Deed Auction. But this didn’t happen. You’re probably thinking, “That house was probably a piece of junk;” Look at the picture.
More and more properties with bank mortgages and even bank owned properties are going to the Tax Deed Auctions. Lenders have foreclosed on properties at record numbers. Now some of these lenders can’t afford to pay the property taxes on all of those homes. Lenders are letting some of these houses go to Tax Deed auction… creating an even more lucrative opportunity for investors who buy Tax Deeds and Tax Lien Certificates.

These tax delinquent properties typically sell for 30-50% of their market value at auction. The high bidder gets a Deed and ownership to the Property at a Tax Deed sale. Most people mistake them for Tax Lien Certificates. On a Certificate, investors receive only interest on your investment. Each county conducts its own Certificate auction once a year. That time of year is coming up soon, and you need to be ready. Certificates present a unique opportunity for a high interest rate with very little risk.