Tax lien investing means you pay off someone’s unpaid property taxes in exchange for the right to collect that debt—plus interest. If the owner doesn’t pay within a set time, you may be able to foreclose and take ownership of the property.

Pros:

• High potential returns (interest up to 36%)

• Low entry cost vs. traditional real estate

• Possibility to acquire property below market value

Cons:

• Legal rules vary by state and can be complex

• Long wait periods before returns

• Risk of poor property condition or other liens

You can find free tax lien lists on county tax collector websites, state treasury sites, and in local newspapers' legal notices. Start by searching for your target county’s “[County Name] tax lien sale list.” Avoid third-party sites that charge for public info.

Tax lien certificates are sold at county auctions, which are often listed on county tax collector or treasurer websites. Some states use online platforms like LienHub, RealAuction, or Bid4Assets to host auctions. Always check the official county or state site first.

You can buy tax lien certificates online through official auction platforms like LienHub, RealAuction, Bid4Assets, and county or state government websites. Always verify that the site is authorized by the county or state hosting the sale.

• Tax Lien Certificate: You buy the debt owed in property taxes and earn interest when the owner repays.

• Tax Deed Property: You buy the actual property at auction because the owner didn’t pay taxes.

Tax liens are about earning interest; tax deeds can lead to property ownership.

No. Only about 29 states offer tax lien certificates. Others use tax deed sales, where the property itself is auctioned. Each state has its own laws, timelines, and auction processes—so it’s important to research the specific rules in your target area.

You can start with as little as $100 to $500, depending on the county and property. Some certificates are inexpensive, while others—especially in higher-value areas—can require several thousand dollars. It’s a flexible entry point for new investors.