Earn High Rates of Interest Without High Anxiety
Up to 12-25% Per Year as Mandated by State Law
How Much do Tax Lien Certificates Earn?
State law mandates the interest rates, the penalties, and the processes for auctioning and redeeming tax lien certificates as well as foreclosing on real estate.
Not all states offer tax lien certificates - about half of U.S. states offer them. The other half of the states offer tax deeds (where the actual property title is auctioned) or they are considered a “hybrid” state.
Texas is such a “hybrid” state where the investor becomes property owner at the auction, but the previous property owner has the opportunity to redeem the property by fulfilling their original tax obligation plus paying all accrued penalties.
Some of the more popular tax lien states are:
Depending upon the state in which you are investing, a tax lien certificate can earn high rates of interest or penalty fees - or both.
|
State |
Interest Rate and/or Fees |
|
Arizona |
16% per annum |
|
Florida |
18% per annum (min 5% penalty) |
|
Illinois |
18% penalty per 6 months |
|
Iowa |
24% per annum |
|
Mississippi |
12% per annum and 5% penalty |
|
Nebraska |
14% per annum |
|
New Jersey |
18% per annum and 2-6% penalty |
|
Texas |
25% penalty per annum |
|
Wyoming |
15% per annum and 3% penalty |
