County Reports Successful Tax Sale
February 23, 2009
County Reports Successful Tax Sale
County Reports Successful Tax SaleBy CHRIS ALLEN BAKER, Times News Editor
FOREST—Scott
County received an injection of new funds Monday as buyers participated
in the annual land tax sale held as required by law.The main courtroom
at the Scott County Courthouse was filled with people seeking to pay
taxes on land parcels with the possibility of acquiring the land if the
owners fail to redeem their property.
Myra Murrell Davis, tax
assessor-collector, said the turnout was a little above normal this
year and the county won its share of funds in the process.”I think it
went really well. We officially had 98 buyers but looking in the
courtroom, it seemed like we had more than 100 buyers,” Davis said.The
county sold the taxes on every parcel except for the 16th Section
parcels that go to the state, Davis said. The county collected
$372,839.10 on 1,312 parcels.Davis said that as of July 23, there was
$553,933.72 left outstanding on 1,958 parcels of property in the
county.The county also came out ahead on the overbid process in
collecting funds from buyers who pay more than the taxes owed on a
parcel.If a parcel owner redeems their taxes, a buyer receives a refund
for the taxes paid, but the county gets to keep the overbid funds,
Davis said.The overbid funds came to $8,587.96 for the county’s
coffers.During the tax sale, buyers were seen scanning the pages of
delinquent tax listings published twice in The Scott County Times
earlier this month. The 18-page section listed the names of property
owners who had not paid taxes when the section went to press at the end
of July.Davis said this is a regular process that happens every
year.However, taxpayers still tend to wait until just before the
publication before submitting payment.”We are required by law to
publish delinquent tax listings,” Davis said. “The taxes are due Feb. 1
each year so the best way to keep from being listed is to pay by that
date.”
Number of city, county properties in tax sale rises to 1,397
February 23, 2009
Number of city, county properties in tax sale rises to 1,397
The number of Warren County parcels “sold” for unpaid taxes was up this year as investors lined up to bid on them Monday.Warren County Tax Collector Pat Simrall said the list contained 1,397 parcels, some large and some small.”(The list) looks like around 150 more parcels unpaid at the time we started getting ready for the paper,” Simrall said, adding 985 of them were inside Vicksburg city limits.Under long-established procedures, owners of homes and businesses are provided property tax bills in December. Amounts due can be paid without penalty for more than a month, but afterward interest is added until July 1. After that, taxes are deemed delinquent and advertised twice for the one-day tax sale. Owners may still pay up until the moment taxes and penalties are paid by someone else.Investors usually bid, hoping the owners will redeem the property by paying them the taxes owed plus interest that continues to accrue at 1.5 percent per month. Although it rarely happens, a bidder may get a tax deed and title to a parcel after three years.Simrall said taxes on about 750 properties were paid between the first publication and Monday’s sale, including three who had payments arrive via overnight mail just before proceedings began at 8:30 a.m.While officials couldn’t pinpoint a singular economic condition for this year’s increase, a few notable commercial properties were in the auction.Downtown buildings at 707, 709, 711 and 713 Clay St. that collapsed in January 2006 were among them with an Omaha, Neb.-based investment brokerage firm, Adair Asset Management LLC, paying $1,470, a bid slightly higher than its current tax liability. The building has been held by Clay Street Complex LLC, led by a Jackson law firm, but owned by Preston Reuther. Its operators have another year to outbid the amount to retain ownership.Adair also bid successfully on the former Thames Autoplex at Pemberton Square Boulevard and U.S. 61 South and two sites near downtown: the former Mississippi Hardware Co. building at 2400 Washington St. and the Vicksburg Compress warehouse at 2400 Levee St.Closed since 2004 after a federal investigation and a string of lawsuits, the dealership property is held by 61 Bypass LLC. Its principal, Joseph M. Bonelli Sr., said a partnership he led purchased it this year and it is being shopped for retail development. The group has two years to outpace the $20,560 bid.Mark Werner, owner of the former Mississippi Hardware structure, has one year to repay the company’s $1,316.49 bid plus interest. The Vicksburg Compress site, currently in care of the E.A. Morgan Family Trust, of Montvale, N.J., was bid on for $47,500, more than $2,000 higher than its tax liability. One year remains before it transfers.Halls Ferry Station, a retail strip mall planned behind Walgreens purchased by Regions Bank in a foreclosure sale last November, received a bid from Green Spring Properties for $14,354.67 covering 2006 and 2007 taxes.Rubber producer Specialty Elastomer Recovery Inc., located in the same site as the former Rouse Polymerics, received a bid from Meridian-based Edgewood LLC for its 2007 tax liability of $4,852.95. The company was among a handful of bankruptcy filings in Warren County in fiscal 2007-08.Not all properties sell at the auction. If no bids are received, properties eventually become assets of the state of Mississippi.
Hinds seeks $10M in tax sale
February 23, 2009
Hinds seeks $10M in tax sale
County notifies property owners of delinquent taxes three times by mail, and the tax information is published.
Hinds County hopes to collect up to $10 million in delinquent taxes from more than 11,000 parcels during its tax sale today.
Those who didn’t pay their taxes by 5 p.m. Friday could have their property sold during the auction. The list of delinquents includes homeowners, businesses and organizations.
The tax sale list includes properties owned by Jackson Mayor Frank Melton, who owes $6,501.58 on his home at 2 Carter’s Grove. The mayor said Friday he had put a check in the mail. However, the deadline to pay property taxes by check was Aug. 8. The Hinds County Tax Collector’s Office now will accept only cash, money orders or cashier’s checks, Hinds County Tax Collector Eddie Fair has said.
The county notifies property owners of their delinquent taxes three times by mail, and the tax sale information is published.
The majority of tax debts on the list are under $1,000, and some are under $100.
A property owner has two years from the date of the sale to redeem the property before a tax deed may be issued to the new buyer. The property owner is charged 1.5 percent monthly for overdue taxes.
Last year, Hinds had about 10,000 parcels in its tax sale, Fair said. Sometimes the same people are late paying their taxes, he said.
One of the largest 2008 tax debts belongs to the Audubon Jackson LLC, which owns an apartment complex and other property on Robinson Road in Jackson. The New York-based company owes a total of $144,997.97. The owners paid its taxes late last year, according to county records.
An organization, the Mississippi Housing Partnership, formerly the Jackson Metro Housing Partnership, has delinquent taxes on several properties in Jackson.
“We would love to pay on time, but we are a small nonprofit, and it’s tough economic times. It’s indicative of the economic times,” said Tim Collins, executive director of the partnership.
The Housing Partnership makes loans to low- and moderate-income families. It also is involved in housing rehabilitation, property management and neighborhood development efforts.
The Housing Partnership has paid taxes on four houses it owns, but as of Friday, had not paid taxes totaling $5,451 on 10 other houses.
Fair said this year is on track to be similar to prior years and that Hinds historically has had a lengthy sale list.
He expects the county to take in $10 million, maybe more. The money won’t be a windfall for the county, however, because the annual budget is set in anticipation of collecting those taxes, county Budget and Finance Director Lillie Woods said.
Deputy Chancery Clerk Greta Lovell, who is in the accounting department, said tax money collected will help the county meet its payroll and other financial obligations for September.
There will be two sales – in Jackson and in Raymond – because the county has two judicial districts.
The county gives taxpayers plenty of chances to pay their debts, Fair said.
“We’re not trying to take anything,” he said. “We want people to have their property.”
The majority of parcels to be sold will be from Jackson, Fair said.
Those with delinquent property taxes in Hinds can pay today or anytime during the week. They will be charged interest on the late payment until it is paid.
Rankin and Madison counties will have their tax sales today as well. Rankin County Tax Collector Judy Fortenberry said the county will try to recoup $2.5 million.
Housing Slump Creates Boom for Tax Lien Investors, Says BuyTaxLiens.com Owner
February 23, 2009
Housing Slump Creates Boom for Tax Lien Investors, Says BuyTaxLiens.com Owner
Housing Slump Creates Boom for Tax Lien Investors, Says BuyTaxLiens.com Owner
Online sales of tax lien properties, also known as tax lien certificates, are taking off says Denny Mitchell, owner of BuyTaxLiens.com. His tax lien auction website specializes in providing a free daily list of tax lien properties resulting from government tax lien foreclosures and has been growing at a break neck pace recently thanks to the distressed housing market fueling a new nationwide boom in online tax lien investing.
West Palm Beach, FL (PRWEB) August 27, 2008 — Denny Mitchell, a commercial real estate developer with an active interest in investing in tax lien certificates, has turned his part time hobby into a wildly successful web community for new tax lien investors. In April of 2008, Mr Mitchell launched BuyTaxLiens.com thinking it would be a simple site for he and his friends to keep tabs on new tax sales online, but to his surprise the site took on a life of its own generating a rapidly growing list of loyal subscribers. This has spurred him to add features like free daily email alerts announcing new tax lien sales and periodic free video tutorials on tax lien investing driven by questions from his email list subscribers.
Although not often discussed in mainstream media, the underground world of investing in tax liens and tax deeds (http://buytaxliens.com) is nothing new. Wealthy family trusts and large institutions have been buying large portfolios of tax certificates across state lines for many years, essentially using them as a safe harbor in volatile economic times.
In 2009, it is projected that at least 29 states will be facing combined budget shortfalls of $48 billion. This in part due to the effect of delinquent property taxes squeezing local governments for cash as the fallout continues from the housing bust according to The Center on Budget and Policy Priorities, a Washington DC think tank. What this means for real estate investors is that for the foreseeable future there will continue to be plenty of tax liens available to purchase on properties throughout the country.
For those unfamiliar with buying tax liens…essentially when a property owner doesn’t pay their property taxes for a given year, the local government must raise the cash another way to keep basic municipal services running like police, fire, and schools, to name a few. In order to do this they have public tax sales to sell notes known as tax lien certificates. Each state varies on how these sales are conducted and what level of return is paid. For example, Florida tax certificates (http://buytaxliens.com/) offer returns as high as 18% per annum with 1st position lien rights even in front of the 1st mortgage of a bank, plus, the tax certificate holder inherits almost government like powers including the right to foreclose on the property in two years if not repaid. Texas offers returns on tax deeds as high as 50%! To learn more about tax lien investing sign up for free email alerts and video tutorials by visiting: http://www.buytaxliens.com
Like most industries, the web has been changing how investors find tax lien certificates online so its no surprise that there have been many paid sites popping up to serve this hot new online investment sector. By using the internet, many investors can now shop for tax deals anywhere in the country and find tax lien certificates on every property type including residential, retail, office, industrial properties and of course raw land. Shopping online also takes the pressure off by allowing more time and tools for due diligence and price comparisons.
“I encourage investors new to tax lien investing to first just watch live sales for a while and study the deals before buying anything – similar to virtual stock trading. Once they are ready to make their first purchase, begin with a very small tax certificate, say under $200-$300. After they do a few small deals successfully and get comfortable with the process, then start increasing the size of their deals along with the number of cities and property types in their portfolio. The best thing about our site is that unlike most sites, visitors can actually watch live auctions for free for as long as they like to get familiar with the process and even watch tutorials without buying anything. We have partnered with a few very well known online players to deliver a list of new tax sales to our subscribers everyday in a secure online shopping environment.” Said Denny Mitchell, owner of BuyTaxLiens.com.
Considering the low cash basis required to get started and steady cash-on-cash returns, coupled with the quasi governmental powers associated with this type of lien ownership, tax liens are the new hot investment of choice.
For additional information on how to invest in tax lien properties (http://buytaxliens.com), visit http://www.buytaxliens.com and sign up for the free daily tax sale alerts and newsletter at the top of the page, or check out their videos on YouTube.
Tax Lien Investing Software
February 14, 2009
So, for the last 5+ years we have been using an excel program that we developed to track our tax lien investments. From the start of due diligence there is a lot of tracking that goes on with tax lien investing. Once the sale happens and you purchase liens, tracking the status and key dates is absolutely a necessity. Our software does a pretty good job of this.
However, I was just informed of a software program that you can purchase to track tax liens, Tax Lien Certificate Portfolio Tracker from www.taxliensoftware.com. I downloaded a trial version, and I have to say, it is quite impressive. It takes a little work on the front end to input all the municipalities and data, but once it is input, this software is really great. You can create a seperate files for each lien including data like, address, parcel #, picture, owner information, municipality, lien purchase date, lien purchase price, stated yield, redemption date, foreclosure deadline, etc… this thing really does everything. It even calculates accrued interest automatically.
I am in no way associated with this software, I was just really impressed by it and thought I should share. For more information on the product and a free 30 day trial visit www.taxliensoftware.com.
Free 44 page Tax Lien Ebook
February 13, 2009
Download our free 44 page tax lien ebook. This book was written as an all encompassing book on how to invest in tax liens. Why purchase a tax lien course when you can have my tax lien ebook for free!! Learn about different types of tax sales.
While some people pay exorbitant sums of money and take long courses to access the information necessary to start investing in tax liens, this book gives you everything you need to invest in tax liens and tax deeds successfully. Not only that, but it covers many of the potential complications and how to deal with them effectively while exploring some of the proven, low-risk alternatives to purchasing deeds independently. With the information in this tax lien ebook, you can start making successful investments immediately at tax sales.
Fill out the form below to download the free tax lien ebook.
