Posts Tagged → Profits
October 26th, 2009
Tax Liens Vs. Tax Deeds: Which is the Best Investment?
Frequently I’m asked the question what is more profitable, investing in tax lien certificates or tax deeds. Whether tax lien investing or tax deed investing is better for you depends on the state that you live in and what your goals are. If you are looking to pick up property under market value than you are better off with tax deeds than with tax liens. If you do your homework and purchase tax liens on good properties, the chances of foreclosure are slim. And in some states, even if the lien is not redeemed, you may not be able to get the property.
In the State of Florida for example, if your lien does not redeem during the redemption period, the property goes into a tax deed sale in order to satisfy your lien. If you did your due diligence and purchased a lien on a decent property, in order to get the property, you will have to bid against other investors at the deed sale. So if you want to invest in Florida, and you are interested in obtaining property, then deed investing is the way to go, not lien investing. If, however, you are not interested in owning property, but just want to get a higher return on your money than you could in the bank, then tax liens are the way to go. In Florida, as long as you do your due diligence, you won’t have to worry about the possibility of owning the property.
If you live on the west coast, you might want to consider investing in tax deeds instead of tax liens. That’s because the states on the west coast are deed states and not lien states. Yes, you could travel to the closest lien state, but that would eat into your profits. And yes, you could invest online but then you have to deal with increased competition and higher costs. Also, would you purchase a property that you did not physically look at first? Even though with tax lien investing, you are not purchasing the property, you’re only buying a lien on the property; your lien is only as good as the property that guarantees it.
If you are interested in either owning the property or getting a very good return on your investment and you live in or near a redeemable deed state, than you should consider investing in redeemable deeds. Redeemable deeds are kind of in-between tax liens and tax deeds. You purchase the tax deed at the sale, but there is a redemption period in which the previous owner can come back and redeem the deed from you. They have to pay a pretty hefty penalty in most redeemable deed states in order to do so, and the penalty is on the total amount that you bid at the sale. In Texas the penalty is 25% and in Georgia it’s 20%. Not a bad rate of return! Another great thing about redeemable deeds is that the larger counties with bigger cities can have a tax sale a few times a year or even every month. That’s better than waiting for a tax sale only once a year as in most states that sell regular tax deeds or tax liens.
If you live in a state that sells tax liens, and you are not interested in purchasing property, but are interested in investing your money safely at a high rate of return, than tax lien investing is the best choice for you. To find out more about tax lien and tax deed investing, go to www.TaxLienInvestingBasics.com.
By admin • Posted in Investing • No Comment
September 15th, 2009
Going Green Is Not Just For Big Business-You Can Grow Profits, Too!
The world of big business is making daily headlines by “going green” after discovering that what’s good for the planet is also proving good for business.
IBM recently announced “Project Big Green,” a $1 billion initiative to reduce energy consumption by offering new lines of energy-efficient IT products.
Wal-Mart is adding solar power to more than 20 stores.
PepsiCo is buying renewable energy certificates to offset its carbon footprint. Even major banks and energy firms are being asked by shareholders to prove that they, too, are going green.
It’s not just the biggest businesses that are attracting new customers and shareholders and reaping huge profits by “going green.” Small businesses also are growing eco-profits by embracing surprisingly inexpensive strategies to add value to their products, services and brand.
Consider these innovative examples:
- Bob Smith of Mad River Brewing Company in Blue Lake, California, has attracted positive publicity (and new customers) by promoting his efforts to reduce his small firm’s waste output and take other environmentally conscious steps. In turn, he has received welcome positive publicity from the press. “What PR budget? That is our PR budget,” he told the Albuquerque Tribune about “going green” to market his business.
- In Florida, Natalie Kelly formed Home Therapy Cleaning Services, which uses only nontoxic, all-natural cleaning products for her home cleaning business. She used to sell aromatherapy candles from her home, she told the St. Petersburg Times, but today uses an aromatherapy baking soda blend to freshen carpets.
Here’s what you can do:
- Two inexpensive ways any small business or solo entrepreneur can go green are to change light bulbs to energy-efficient bulbs and use biodegradable cleaning products.
- With that done, tell your customers and the media about these simple ways to go green. You will have just earned instant credibility as a green business, and also as a media resource for simple, effective ways to “go green.”
- Many communities online and offline are forming networks to exchange energy-saving ideas for home and business. Form your own energy network, enlisting neighborhood businesses that will welcome another opportunity to show they’re going green, too. The plus for you is that you will have just positioned yourself and your business as a community environmental leader.
- Copy what the New York Times called “Phase 2″ of the corporate response to global warming. Partner with an environmental group. Travelocity invites customers to donate an extra $10 to $40, which goes to the Conservation Fund to plant trees to offset the carbon used by a client to take a trip. Whole Foods invites customers to buy a $5 “wind power card” that goes to Renewable Choice Energy to build wind farms. What local environmental group can you partner with to promote on your Web site (and vice versa), to set aside a day that a percentage of profits will go to that organization or to make their fliers available at your business?
- Make use of readily available, free information to hand out with your business literature or to make available in your office. For example, create a one-page flier on your letterhead inviting clients to calculate their own carbon footprint by visiting http://multimedia.wri.org/safeclimate_calculator.cfm.
- Go deeper green! Attend a “green” conference in your community or region, and promote your attendance. (Go to Google.com and type in “green” and “conference” and your area to find out when and where they are scheduled.) Write a “green” article on simple ways you are going green and submit it to one of the dozens of “green” Web sites and blogs that invite reader contributions. It’s a great way to market your smart ideas and your business!
By admin • Posted in Uncategorized • No Comment