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Wealth Destiny Group

Your California Tax Foreclosure Specialist

The Arduous Task of Tax Deed Research

Ok, you’re a Tax Deed investor. You’ve done it before. You know the drill, the auction is coming up and the list just got issued by the county.

This is what you received:

Thats all you get

That’s IT! Auction Item number, Parcel Number and minimum bid. Sometimes it’s in a downloadable spreadsheet format, most times it’s not. Sometimes it includes a lot of information (depending on the county you work) sometimes this really is all you get.

Ok, Let’s get to work.. You know what to do.

digging
image courtesy of: http://shawnvanderlugt.com/2012/03/

Create your spreadsheet with all the item numbers, APNs and minimum bids. Then you have to go to the County Assessor’s website and figure out how to do a parcel search for that county. Every one is different remember? Find the specific assessment  information for that APN number and type the info into your spreadsheet detailing the property address, annual tax amount, special assessments if any, assessed land value, assessed improvement value if any, property type, zoning, date of most recent assessment, date of most recent transfer, owner address if different from property. Sometimes all that is in one place, other times it’s not. If they provided a site address, pop into your favorite search engine and search the address, maybe there’s a decent (recent) street view. Clip it and insert the photo into your spreadsheet.

WHEW!

One down! How long did that take? Somewhere between 2 and 5 minutes I’d expect. Awesome, Nice work! Now do the next one. What if there are 500 properties in the auction. Let’s say it takes you an average of 3 minutes per parcel to do the basic preliminaries, you are looking at 25 HOURS – just to get them into a format you can refer back to and add information to.  What if there are 5000 on the list?  Let’s not forget that even though you just got the list, the auction is in 30 days. Oh and you have a day job and a family! Better yet, let’s imagine you don’t have a day job but you have a portfolio of other properties that require your attention, now.

spiral-clock

What is your time worth?

Tick-tock, the auction date is looming, now go through the whole list and narrow it down to the type of properties you invest in. Hopefully the assessor provided that information, if not. Back to the internet to find it. Identify the address or site location of each and dig! See what you can find. For example – recent MLS listings, area Craigslist, rental ads, city/neighborhood demographics, rough comps etc. Eliminate rejects as you go and highlight the maybes.

I’d estimate that would put you at another 15 hours, depending on how deep you follow the rabbit hole on each property.

That’s 25 hours building your database and 15 hours digging and sorting. 40 hours so far and you haven’t even left the house yet. Hopefully you showered and said hello to your family.

busy1
image courtesy of: http://www.ignatianspirituality.com/

How many times during the process did you utter out loud, “Is it worth all this work?”

You’ve updated your list to remove any properties that have been redeemed and are no longer up for auction. Now to book your flight, hotel and rental car (or plan your road trip) to go drive by all the remaining properties on your list, poke around as much as is allowed, take pictures, talk to neighbors etc. Repeat.

Update your spreadsheet and narrow it down some more. Double check your estimated comps and consider margins for each property.

The auction is in a few days! Update your list again for redemptions. Go to the County Recorders office and spend at least one day looking at public records.  Phone a friend to figure out what you’re looking at.

calculate

Narrow down your list again. Set your final margins and max bids and try to get some sleep.

Wouldn’t it be easier to have someone else do all the legwork? Simply order an Auction Package and get back to your life. How much is your time worth?

 

Let me do the hard work for you – Here’s how it works

You tell me what your target investment property is, what regions, cities or neighborhoods you are looking to invest in and I prepare an Auction Package for you including every property that falls within the parameters you set out.

You set your margins, you set your max bid, you register for the auction and you bid.

I charge a flat fee, up front, per county for an Auction Package to cover my hard costs and then a consulting fee that is a small percentage based on your winning bid.

I only work with one client per property type/geographic region or city so you will never be bidding against one of my other clients. That means space is limited.

Order your Auction Package TODAY!

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Have you had a Tax Sale Fail?

I’m here for YOU! I’m offering 30 minutes FREE coaching, January 2016 ONLY! Look for the link below!

Many times when I first meet a new client they are ashamed to tell me about their Tax Sale Fails.

I research every California County auction, every year. I see you, my pretties! I may not know how your specific situation played out, yet I can spot your results. However, please don’t be afraid to share with me. Having a Tax Sale Fail under your belt does NOT mean failure, No way! It does mean a number of other things:

You had the guts to try!

You put yourself out there!

You understand the process (for the most part).

AND most importantly you aren’t afraid to risk!

GOOD FOR YOU!!! These are vastly important traits for a tax deed investor, any real estate investor really.

Would you benefit from a *FREE* 30 minute coaching session? click-here-button-red

Offer valid January 2016 ONLY! 

Don’t wait for this limited time offer to expire! BOOK NOW!  

Did you ride your bicycle well the first time you tried? Hell no! You crashed, cried, got a kiss on your boo-boo and a bandage, then you tried again. I’m speaking to you! Unless you’re the conservative investor with a 10-20 year, buy & hold plan who buys on the conventional market for full retail. While that’s a solid plan with a marginal return, it’s also slow and BORING! If that’s the case, you and I will likely never cross paths. You, the Tax Deed investor excited by the prospect of a great deal, right now, are the movers and the shakers, the DO’ers of the real estate investor world and there is something to be said for that.

You are the courageous Ben Franklins standing outside in the storm with a kite and an iron key – risking electrocuting the B-Jesus out of yourself – because you KNOW it will work.

simplereminders.com-masonite-success-hiltonTax deed investing has been around since property taxes were originally imposed, why? Because people don’t always pay their taxes! I recently watched a 1968 spaghetti western, set in roughly 1875 and guess what? There was a Tax Sale Auction! Charles Bronson paid $5,000 for the land that would later become a booming railroad town. In the long run it was a pretty good deal, but I think he paid too much. It was 1875 after all!

Sometimes you can find a creative way to save what appears to be a Tax Sale Fail.

Did you buy a vacant lot, zoned residential only to find out it has less than favorable dimensions for building?  Maybe this will fit! Parking might still be challenging.

Tiny House
source: inhabitat.com

Though sometimes there isn’t much you can do. Check out this gem.$20000 Land Locked Greenbelt cropped

It’s nearly 2 acres in a nice community, zoned residential. Woo hoo! Except it also happens to be a completely landlocked greenbelt and the CCRs (covenants) prohibit building in the greenbelt. The winning bidder paid $20,000 for this beaut! (More than $5,000 over the starting bid) That means he or she was bidding against at least one other! WHAT?

Here’s another one that may or may not have been a calculated risk by the competing bidders.

San Joaquin River canal land

It is 8.42 acres (indicated in red) zoned agricultural. The two “lines” in the photo that run parallel to the lot are canals. The San Joaquin River is marked with blue arrows. This property is a sliver along the San Joaquin River between two canals.  According to this article: “The advocacy group American Rivers chose the San Joaquin as the ‘most endangered’ river in 2014 because it’s at a turning point. Depending on what happens soon, it could become a river reborn, or a drainage ditch.” The winning bid was $14,000 over minimum bid!!! Perhaps this particular investor and the competing bidder(s) are hoping for either a new Panama Canal and the land use opportunities that go along with it OR maybe there’s something all together different planned.

nepal-india-trip-3563
source: jackietran73 at wanderingasianguy.com

Seriously though, it is entirely possible there is use for land like this that is outside my current scope of awareness. I learn new things everyday too! I’m thinking someone just didn’t do effective due diligence.

It’s not too late to book your FREE  no obligation 30 minute coaching session! 

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There are countless Tax Sale Fail stories, just please remember – good deals are out there! Great deals are out there!

Like this large residential lot in a high-end, gated, golf course community.

Paid 19 flipped for 37.5 5 months later 2015
Winning Bid 2015 Auction $19,000 – Investor SOLD in 120 days for $37,500. No holding costs and No closing costs!

Or this:

3975 Broadway Sacramento 2015
Winning bid 2015 Auction: $65,500 – Investor SOLD 90 days later for $160,000!

 

imdb sharles bronson
image source: imdb.com/CharlesBronson

Are you ready to get back in the saddle and try again? Have you figured out what’s missing from your auction experience? Maybe it’s a physical drive-by inspection of the property, maybe it’s a title search in laymen’s terms specifically for you, a parcel map with the property clearly marked or a combination of things. Consider hiring an expert to fill in the pieces you’re unsure of or unable to complete due to time or travel restrictions. Perhaps you paid for a training program but are feeling like you need more personalized, one-on-one support. Maybe you’re not sure what went wrong and would like the opportunity to run it by someone with more experience.

Are you ready? do it

It’s time to book your FREE, 30 minute, no obligation, personal coaching session! (A $75 value!!)  click-here-button-red

Do you even Google?

I personally am still in a bit of a food coma from all the delicious meals and treats I’ve had in the last week. Yesterday being my birthday, we had movie day and stayed cuddled in blankets watching all the latest movie releases. It was fantastic and I hope your holiday time was equally amazing but now it’s time to get back to work.

In the shower this morning, where I do some of my best outside the box thinking, a funny thought occurred to me.

Have you ever Googled? Have you ever used a search engine? Maybe you Yahoo® Ask Jeeves® or Bing® or maybe you’re old school and you AOL®.  Well, of course you have, it just makes sense! Instead of being expected to know the exact web address for websites containing the information you need, you just use a search engine to guide you. Instead of plodding through site after site that are already part of your known sphere of information, you simply fill in the blank field with kinda sorta close to what you’re looking for and it rushes off to work to find you everything even close to what you asked for on the world wide web. What a genius idea!

You can call me your tax deed search engine. cartoon-computer

See, many savvy investors leave tax deed investing by the wayside because the hours of research required to complete even one auction is enough to completely fry your brain. Many investors say they spent 30+ hours researching a list for one auction and then they still weren’t sure they found everything they needed to know.

so all the work.jpg

I’ve developed a service suited specifically for this person. The experienced real estate investor who knows the process, understands the risks and just doesn’t have the time to do the research. I sift through thousands of available properties all over California that fit within my client’s specific parameters, I provide a preliminary list of properties available for upcoming auctions. If you wish to move forward and want me to obtain detailed information about properties in that auction, I create what I call an Auction Package. I go to the County and start really digging!

An Auction Package consists of:

  • County Auction Rules and Guidelines
  • Bidder Registration Information
  • Demographics on the county and city(ies) in question
  • Property tax assessment details
  • Printed copies of all liens of record against the properties and property owners (with notes from me about which could survive the tax sale process)
  • Drive by inspection photos and notes about each property and neighborhood
  • Comps from a local, successful real estate professional regarding market resale and rental values
  • Flood Data Information
  • Communication logs from my phone conversations with local utilities, Planning and Zoning and Building Departments as well as local police and Sheriff’s offices.

You use my Auction Package to determine which property(ies) you would like to bid on, register for the auction and bid. Title to the property goes directly into your name!

If you use your favorite search engine and start poking around California tax deeds, there are hundreds of sites that will tell you all about it. Things like; there are great deals, it’s a lot of work, there are a lot of junk properties at the auction, it’s too hard, you can’t sell it right away, you can’t get title insurance without a quiet title action. I know some insider secrets that I share with my clients to clear title and provide marketable title much faster than 1 year so you CAN sell right away and my Auction Package program eliminates days/weeks of research for you!! the preliminary list you receive and approve only contains the properties that fit within your parameters, all the junk is already eliminated.  See, I do all the hard work for you! Leaving only – “There are great deals”.
Many of my clients have purchased valuable, free and clear real estate for 60% of actual market value, even 50% or 40%! That’s 40 cents on the dollar. say whatSeriously! It’s a niche in real estate investing that if it were easy, everyone would do it. I’ve figured out a way to use my 20+ years in title, escrow and real estate sales and marketing to make it easy for you but I work with a limited number of clients per year. That means you decide now and let me do the rest.

I charge a service fee, up front, that helps cover my hard costs for doing the research and then once you achieve the winning bid, I receive a small percentage of your winning bid as a consulting fee.

Contact me today! Let’s get started.

i hold the key

Spring Auction Season Begins!

keep-calm-its-auction-time

The properties I buy (or teach my students how to buy – or find for my clients to buy) are sold at auction.

Quick background, if a property owner fails to pay their property taxes for 5 years in a row, the county tax collector has the legal right to sell the property to collect the amount owed to them. It is a foreclosure process and that process effectively wipes out any mortgages on the property. This is specifically California we are talking about, other states can have similar rules and laws but I will always be talking about California as that’s where I choose to work. Anyway, all 58 counties in California have the right to hold a public auction every year. Not all counties do it. Some work out very generous 5 year repayment plans for overdue tax payers, where they essentially finance the repayment of the tax amount and allow the property owner a second chance to catch up. Other counties, people seem to pay their taxes and there are very few (1 or 2) properties that end up getting sold annually. Others hold 2 or more auctions a year because there is so much product (read here “overdue tax debt”), Los Angeles for instance held an auction in October 2015 where there were more than 2000  – yes I said two THOUSAND – properties up for auction in a 2 day period. Just a few weeks ago they held a second auction where they offered deeper discounts in a sort of clearance sale, more than 300 properties were in the clearance auction!

Anyway, the spring auction season usually begins mid-February. The auction lists typically come out 4 to 6 weeks before that. That’s right now!!! It’s exciting to check county websites and see hundreds of properties on the list for this year’s auction.

Roughly 1200 properties will be auctioned off (so far) in February alone! Sacramento has released a list of 395 properties, Shasta has 87 properties on their list,  Kern County published their Tax Sale Board Approval letter containing 689 properties! So far Shasta County has one commercial/residential combination property that has my attention, I’ll definitely be taking a drive up there!

I have clients interested in Kern and Sacramento Counties so let the research begin! In my cozy pajamas, fuzzy socks, hair in a ponytail and listening to the rain outside.

Also, ‘May the odds be evah in your favah”.

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