Transcript:
Welcome to the Tax Sale Podcast, where tax sale investing is made easy.
I’m Casey Denman, a tax sale veteran, expert, and trainer, author of the tax sale playbook, founder of the tax sale academy and your host here on the tax sale podcast.
Thanks for joining me on today’s podcast, and as always, at the conclusion of this podcast, if you’re looking to learn more about investing in tax defaulted real estate head to taxsaleacademy.com. That’s taxsaleacademy.com.
The title of today’s episode is Convenience Leaves Clues. So last week we discussed small town tax sale investing, we’ve also discussed investing in other states, auction formats, choosing your best states, some barriers to entry OTC properties, scaling your business and lots of other stuff.
If you listen to each of these episodes somewhere you’ll figure out that in order to be successful as a tax sale investor you have to be able to find properties that leave room for potential profits. Just buy it for less than you can sell it for and what’s left over is your profit. Pretty simple, right?
Well, it really is. But what happens is I believe it’s almost human nature to become a little complacent, or perhaps even, should I say it, a little lazy?
We want the best properties that will provide the most potential profit to you, with the absolutely least amount of effort required, and in fact, if there is no effort at all required and they fall in our lap, ya, that’s even better. And you know it’s true. And I can tell you as a tax sale educator, that it’s true.
You would not believe the ridiculous emails I get about how people want to make millions, yet be as lazy as possible while doing it.
Typically the way it works is the more convenient it is, the less successful you’ll be at acquiring great deals. The less convenient it is, the more successful you’ll be at acquiring deals. I could end this episode right now, and if you focused on that you’d see success. But, it’s important to understand how to make it work for your life.
I’ve been to auctions where they’ll provide a list well in advance that contains addresses, pictures, a description, and all sorts of other helpful information. Some will even link you to the property assessor’s reports, GIS maps, aerial maps and even surveys. It’s quite amazing. Then I’ll go to these auctions and they’ll be in auditoriums, with stages and 3 or 4 huge projector screens. With thousands of bidders both in the room and bidding in simulcast and multiple auctioneer assistants calling in bids. It’s insane. But man, it is so so easy. Right? Just hope there information is right, show up, buy some properties and leave.
Except it doesn’t work like that. These are the auctions where the winners overspend. Where people lose money. Where people leave with a bad taste in their mouths about tax sales. Yes, those auctions.
Then…I’ve also been to auctions where it has become so inconvenient that if I had any hair on my head, I’d pull it out. These are the counties where you must go to every single county office and look up every single detail about a property. Then they require you to preregister well in advance of the auction. Then when the auction day is finally there, they require you to show up at the auction site in person in order to bid. Guess what? As much of a pain as this is these are the auctions where I see the most success.
If you must attend an auction in person and there isn’t one offered online, that means that EVERYONE must attend the auction in person. This eliminates all of the online bidders, which means fewer bidders, less competition, lower prices and higher profits.
So, you’re goal should almost be to find auctions at the very end of your comfort level. The auctions that aren’t so convenient to you and everyone else where there are busloads of bidders.
And of course, this goals for the research phase as well. So, when you’re choosing a new county keep this in mind. If the research phase is difficult for you, that means it’s difficult for everyone else too which means fewer people will put in the work to research the property, which ultimately results in fewer interested parties and less competition.
Don’t automatically skip an entire county, just because they are stuck in the 90s and they don’t have much information available online. Remember that if you aren’t able to access the information easily, no one else can. Perhaps you can push forward and figure out a way to research properties and figure out that information. If you can while others aren’t able to figure it out, you’ll have such a leg up.
Obviously, if it’s too inconvenient for you, then it might not be worth your effort based on your available capital, time, and objectives and everyone is a little different. But if it’s right there at the edge of being inconvenient, push forward and make it work. The results might just be surprising and very profitable for you.
And remember what I said at the beginning of the podcast: The more convenient for you, the more convenient for your competition, and the more you’ll pay. The less convenient for you, the less convenient for your competition, and the less you’ll pay. Convenience definitely leaves clues.
That’s it for today’s podcast guys. Thanks so much for listeing.
When you’re ready to get started and want access to our comprehensive step by step training, head on over to TaxSaleAcademy.com and clicking on join.
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Take care guys and make it a successful day.
See ya!