Sunday, October 3, 2010

South Park Tax Sales

In South Park, Colorado I recently located some tax sale property that my wife and I have an interest in. We bought the tax lien a few years ago at the Park County tax sale held at the Fairplay school. A map the Assessor’s office supplied brought us right to the five-acre parcel just south of Hartsel. Property in South Park provides great views, places to fish, rocks and minerals to collect, and artifacts to find.

Balloons over South Park
After we drove to the property we began to look around. We soon found unusual black agate nodules that had weathered out of the local rocks. These black nodules had a “waxy” texture and were easy to find around the property.
Black agate
Once we began collecting the agate nodules, we soon found lithic scatter or debitage from brightly-colored jasper. Debitage is the material that is flaked from stones when arrowheads, spears, scrappers, and knives are made.
Damaged jasper spear point
Each fall the County Treasurers of Colorado list real property with delinquent  taxes in the public notice section of the local newspaper. A date is set where tax liens are sold to the general public. The sale is done through an auction format. The investor registers for the sale and is given a “bidder” number. Once the sale begins, the Treasurer announces each parcel from the delinquent tax list, and investors can then bid a premium for the right to pay the taxes. If you win the bid, you pay the taxes for the next three years.

The best way to invest in the tax sales are to keep your premium bids low, as this money is NOT returned to you in the event the lien is redeemed.  Last year there were many parcels at Fremont County that did not have premium bids.  Investors at Fremont County got the tax liens for the amount of taxes only.

After three years have passed, you can request that the County Treasurer foreclose your tax lien. If the lien is not redeemed, you will receive a Treasurer’s deed to the property. If the lien is redeemed, you will receive a check that represents your payments plus interest (2010 rate is 10%). Either way, this is a fun way to invest some extra money. For more information check out the Colorado County Treasurer’s Association website at:
http://www.e-ccta.org/CCTA/tax_sales.htm.

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