Tax Lien Certificates - One Of The Best All-Time Investments

It's difficult to decide where to put your money these days.

I mean, really - what are our primary "safe" investment choices today?:

Bank account? Sure, however the paltry interest you'd receive would be completely outpaced by inflation. You would actually lose money keeping it in a checking (or savings) account.

Certificate of Deposit (CD)? Basically a glorified bank account. You'd get more interest than a normal checking/savings account, but not by much. The biggest downside is that you lose liquidity, since you have to "lock up" your money for a specified period of time.

Money market account (MMA)? Better than a CD in terms of liquidity, but pays less interest. You may get penalized if you write more than a certain number of checks. It's a medium between a checking/savings account and a CD.

401k? This is perhaps the most UNsafe option of them all. Expense ratios are rising (the costs of using mutual funds, which typically make up a 401k), and the markets have dropped and or have been otherwise very volatile over the last few years. It will be a very long time until they stabilize again.

US Treasuries? Once considered the safest investment, the United States is increasingly becoming in danger of default on their debt. This fact led to the downgrading of the country's credit rating. Would you feel safe putting your money somewhere that you might not see again, never mind earn interest?

Real Estate? Now we're getting warmer. The only problem with traditional real estate is that it's expensive! Having a 20% down is a must these days, and for most people, they simply don't have that kind of cash.

So where is a savvy investor supposed to put money where he or she can profit, no matter if the investment succeeds or if the investment falls through?

Enter tax lien certificates. Tax lien certificates offer high returns with very little risk, which is precisely why less-savvy investors have misguidedly called them a tax lien certificates scam.

When back property taxes are owed, the county issues a lien on the property. Wanting to get their taxes, the county holds auctions for these liens which investors can buy (for the price of the owed back taxes).

Typically, the returns are between 16-18% which is set by the county to encourage delinquent owners to pay their taxes, and also interest investors in buying them.

Plus, because the lien is backed by a real asset (the property itself), if the delinquent owner completely defaults on the back taxes owed, the lien holder get the property free and clear.

There is a lot more great information about tax lien certificates available at http:/www.taxliencertificatesscam.com, along with resources to help you get safely started investing in tax liens.

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