Real Estate Investors’ Secrets for Purchasing Homes on the Court House Steps

As the number of foreclosures and tax liens increase due to the economic downturn, the opportunity to acquire homes at bargain prices has also increased. On every first Tuesday of the month, the state of Georgia holds Tax Deed auctions at county courthouses across the state. Other states employ differing methods, but offer similar opportunities. We recently spoke with several home investors at the Lewis R. Slaton Courthouse in Atlanta about purchasing a home on the steps of the courthouse to see what they look for in assessing potential properties on which to bid. –a.r.

Anthony Maddox
Seeking to repurchase a church that has a tax lien

“The state does these auctions because the banks are trying to get their money back from people who haven’t paid on time. So they have a quick sale on [the] courthouse steps and someone can purchase a property for the remaining balance. Sometimes, you can get decent property for a good price. The auction can be a great opportunity for those who don’t have a lot of money.”

 

 

 

 

Jacquelyn
Investor

“You have to know what you’re doing before coming down here to buy a house. If the house only sells for $1,000, it may have a lot of damage that you will not know about until you have purchased the home. You have to make sure that you’re bidding on a good property.”

 

 

 

 

 

Renard Davis
Investor

“If you want to buy a house out here, you have to find out more about it before you put money into it. You have to make sure that you are prepared to deal with the good and bad. If the house needs a lot of work, you have to have the money to fix it. Sometimes, it’s better for first-time homebuyers to go through the regular process of buying a home. Because you have to do a lot of research before coming out here so that you won’t lose your money.”

 

 

 

 

Dee Hereast
Investor

“You can get these properties for a cheap price, but you have to investigate. After you purchase the home at an auction, the current owner has a year to pay the tax lien, so it’s a risky investment. But in today’s market, you have to put 3 percent down and have a credit score of 620 or better to get a loan for a home. If you have a bad credit score because of the economy, this is a good option.”