Tax delinquent real estate in New Orleans – what a mess! Post 71:

November 26th, 2007  By Clay Thomas

If you go to www.neworleanstaxsale.com you will be able to register and bid on properties for just the taxes/liens starting on Monday 26th at 8:00am.

You can search properties based on zip, then street. There are properties all over the city that are going for a few thousand dollars, some much more. Sure you have to continue to pay the taxes for the next three years and you may not get the property, but who knows, you might.

You won’t lose your money because the owner has to pay you 5%, +1% a month, plus any improvements, etc. All the information is on the website. You have to register a bank account and the money will be taken out immediately (I think). Plus the amount will be more than on the website so be sure to check the real property records at the Online Property Tax Payment link provided. I saw a property that showed $236, but it was actually $15,000+ because of health liens.

See the entire post:  http://thinknola.com/post/new-orleans-tax-sale/all-comments/#comments

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Coach Mitch’s REFLECTIONS

Read the entire blog post

There are 26 entries. It will give you a very good idea as to the awful state of government, the bureaucracy and its'(lack of) thinking. This blog should also make it apparent why I have chosen to try to circumvent the tax lien auction and tax deed auction process.

Deal with people, not government

It is always easier to deal with regular people than it is to deal with government types, no exceptions; or at least that has been my experience.I can always get more and better satisfaction when dealing with a private party rather than when dealing with a government official, at any level.

When dealing with government, you must take into account the rules of the game. The government official must abide by the law or they can be held accountable. There is nothing that they can do about it. The law is the law. The sad fact is, it is not fair to ask someone to jeopardize their livelihood for your gain.

EXAMPLE: One point of aggravation happens when the law is subjective and the official does not choose to be on your side. Many times a law will say “may” do something. This means that it is up to the official to do or not to do. Often they do not do what you would like them to do.

Make your own rules – play your own game

I never go in the direction of the parade. I am by nature a contrarian. Why deal with government when you can deal with an owner? Why wait 18 months for a tax lien to mature so you can own if you can own/control the property today? Due process rights are easily violated. Why put yourself at risk of not following some legal procedure perfectly if you can own/control the property today? Why participate in the old system if the new system works so much better?

When dealing with a distressed property owner, we can make up virtually any rule that we want. There are very few laws that we must abide by, save fraud. We can create any contractual obligation that suits our situation and imagination.

I keep it simple

Coach Mitch’s “Ridiculously Simple System…” has several contracts and clauses. The beauty is that they are so straightforward and simple. I am always amazed that sellers never object to my contract clauses. I am amazed because my clauses are so grossly in my favor.

Deal in desperation

The key to Coach Mitch’s “Ridiculously Simple System…” is that I try to only buy from folks who are at their wits end. They have few, if any choices. People get into trouble all the time. You merely need to find that person who is in trouble and who also has worthwhile property. It is a steady percentage of the total population.

Be fair

Don’t do anything that is against your interest, but do have empathy. You might be in trouble sometime yourself. Typically, these sellers are so beat up that they will not be asking for anything close to full value. If they want more than I wish to pay then I – Just Say “YES” – to what they want and proceed with one of Coach Mitch’s “famous $1 Options.” It’s as simple as that!

See Coach Mitch’s “Ridiculously Simple System…” ™ for details.

Blue skies,