
Investing using
Tax Liens in Maryland is relatively straightforward, but it is important to understand the steps involved: Step 1: Review property listings in various county newspapers (often also available online or by request) before auctions to get an eye for the best properties.
- Step 1: Review property listings in various county newspapers (often also available online or by request) before auctions to get an eye for the best properties.
- Step 2: Inspect the properties to ensure no unpleasant surprises arrive later (fire damage, flooding, etc) and consider your expected returns and exit strategies.
- Step 3: Bid on the Tax Lien Certificates for the properties that interest you the most. Every county in Maryland has different auction rules, so working with a local attorney is advised.
- Step 4: Wait! Tax Liens start collecting additional fees only four months after their purchase.
- Step 5: Collect. Once additional fees have been added, it can become profitable to seek payment from the property owner; they can be up to 24%, depending on the County.
- Step 6: Foreclosure. If the owner refuses to pay, is unable to pay, or cannot be located, then you can pursue the foreclosure process to obtain the title to the property. This requires a number of additional steps and precautions to be taken before a hearing with a judge, but if everything is done correctly with the help of an attorney, you will end up with the property.