In the dynamic realm of real estate investment, opportunities frequently emerge from unexpected corners. The realm of tax liens and deeds, though less explored, proves to be immensely lucrative, providing a distinctive pathway to building wealth. In a recent interview, Marcos Jacober shared insightful perspectives on this intriguing domain with Dr. Jeff Anzalone, the host of the Debt-Free Doctor show.
The Journey to American Dream:
Marcos Jacober’s story is one of resilience and success. Arriving in the United States in 1998 with a mere $100 in his pocket, he embarked on the pursuit of the American dream. Working various jobs, including delivering packages for FedEx, Marcos gradually found his way into the world of real estate. His journey, though not always a carnival, led him to discover the two oldest forms of investment in the United States.
Discovery of Tax Liens and Deeds:
As Marcos delved deeper into the realm of real estate, he realized the significance of tax liens and deeds, the often-overlooked pillars of wealth building. While traditional methods involved buying and renting out properties, Marcos found a more secure and predictable path in tax liens and deeds. The revelation came in the form of a book on tax liens, which Marcos initially ignored but later embraced after facing the 2008 financial crisis.
The Shift to Tax Liens and Deeds:
With a newfound understanding, Marcos transitioned from conventional real estate investment to tax liens and deeds. He adopted the strategy of purchasing tax liens at auctions, a process where investors pay the overdue property taxes on behalf of the owner. In return, they receive interest and, in some cases, the opportunity to acquire the property if the owner fails to redeem it within a specified period.
The Two Halves of the Puzzle:
Marcos explained the divide in the United States, where half the states conduct tax lien sales, and the other half opt for tax deed sales. In tax lien states, investors buy the right to collect overdue taxes, while in tax deed states, investors have the chance to purchase the actual property through auctions.
Tax Liens: The Passive Path to Real Estate Investment:
For those seeking a more passive approach to real estate investment, tax liens offer an attractive option. Investors can secure returns without the day-to-day involvement of property management. Marcos emphasized the simplicity of the process, where investors pay the overdue taxes and wait for the property owner to redeem the lien.
Tax Deeds: Unveiling Hidden Gems:
On the other hand, tax deeds provide investors with an opportunity to acquire properties at auctions for a fraction of their market value. The catch lies in the uncertainty, as investors might not know which properties are up for auction until the county forecloses on them.
The Seven-Step Method:
To navigate the complexities of tax liens and deeds, Marcos introduced a seven-step methodology. This comprehensive approach involves thorough research on auction rules, property details, flood zone status, property value, existing liens, and physical inspection. By diligently following these steps, investors can mitigate risks and make informed decisions.
The conversation with The Deed Hunter unveils a world of possibilities within tax liens and deeds, challenging conventional notions of real estate investment. Whether opting for the passive route of tax liens or exploring the hidden gems in tax deeds, investors can diversify their portfolios and unlock opportunities in this often-overlooked domain. As Marcos continues to educate and mentor aspiring investors, the landscape of real estate investment may see a shift towards the untapped potential of tax liens and deeds.
Who is Dr. Jeff Anzalone?
Dr. Jeff Anzalone, a periodontist based in Louisiana, found himself concerned about his family’s financial future a few years ago. As a solo practitioner, he realized that if something were to happen to him, there would be no alternative income source. Worries about potential injuries, disabilities, and burnout prompted him to take a closer look at his financial situation.
Driven by the realization that most doctors, himself included, rely solely on earned income from their work, Dr. Anzalone decided to explore ways to create multiple streams of passive income. Over the years, he has been successful in gradually replacing his active income with passive streams.
Motivated by the desire to share the valuable information he acquired, Dr. Anzalone launched his blog, the “Debt-Free Doctor” show. Through his platform, he aims to convey the message to fellow doctors and high-income earners that it is possible to break free from the traditional trade of time for money and regain control over one’s life.
