Zero Risk Real Estate: Creating Wealth Through Tax Liens and Tax Deeds

Evaluating Different Types of Properties

There are many different types of properties that come up for a tax auction, including residential, commercial, manufacturing, industrial, office, retail, vacant land, multi-family, condominiums, and special use properties—just to name a few.

Get updates just prior to the auction. There is nothing worse than doing a bunch of research on a property that isn’t available for auction any longer.

Unless you have specific knowledge in other types of properties, and until you gain valuable experience in this entire process from start to finish, then single family residences will yield the best results and returns since they are always in demand in the market. Also, more than likely, this is the type of property you have the most personal knowledge about. You probably live in one yourself. If you are looking at a property record and see the term 4BR/2.5BA, then you already know that means the property has four bedrooms and two-and-a-half baths. However, if you were looking at a piece of commercial property and saw terms like COO, ELR, and NPV, most likely you would quickly get overwhelmed trying to speak and understand this new language. So when starting out, stick to what you know, the single family home. But not all single family homes are created equal.

To stay organized, I created a simple Property Evaluation Form (see Figure 2.3). This ...