What Exactly is a Tax Deed?

We’ve all heard the term “tax deed” bounced around a time or two. So, what exactly is a tax deed? Watch this video to find out!

Transcript:

Hi there! Casey Denman here with TaxSaleAcademy.com. In this video, we’re talking about what exactly is a Tax Deed?

You’ll hear me a lot of times talk about a Tax Sale or a Tax Deed. So what is a Tax Deed? Well, let’s break it down here and let’s start a little bit backwards. A Deed, as we know it, is the instrument that conveys a parcel of real estate from one person to another; from a seller to a buyer. It’s the actual piece of paper that the language is written on and it’s typically recorded in public records to serve as notice to the public that a piece of property has been transferred from one person to the next. It can almost be considered similar to a car title, I guess.

Now, a Tax Deed is a specific type of deed that is provided to a buyer who purchases a piece of property at a tax foreclosure auction after this piece of property has gone through tax foreclosure by the county due to the failure of the previous owner not paying their real estate taxes.

So basically, what happens here is a piece of property is owned by an owner who fails to pay their taxes. The county comes in, forecloses on this piece of property, and then they sell this piece of property. The way they sell it, however, is through a tax deed auction or a tax sale auction, and the instrument that they issue to the buyer is the actual Tax Deed. The instrument or the piece of paper that language is written on is a Tax Deed. That’s all a Tax Deed is.

You might hear people use the language “Tax Deed Auction” or they might refer to the process as a “Tax Deed Process.” The Tax Deed as it stands is just the piece of paper that the transfer is written on and the piece of paper that is recorded in public records to serve as notice to the public that a piece of property is now owned by an owner after it was purchased through tax foreclosure. So there’s your definition of a Tax Deed.

If you’d like more information on the very lucrative tax sale and tax deed investing business, head on over to my website at TheTaxSaleAcademy.com, which you can do by clicking the blue link right here next to my head. Again, head on over to TaxSaleAcademy.com. Once you get there, download your free copy of my e-book, The Tax Sale Blueprint, and you’ll be on your way to a very successful tax sale investing career.

Take care, folks! Bye-bye.