Delinquent property tax sale

Alabama’s were once very attractive (up to 12% interest per year), but it changed a few years ago and really isn’t that great anymore. My dad and I both ended up getting 2-3 properties over the years and making some money once we sold, but it’s a long play.

Mississippi is 18% yearly (1.5% per month) and was great for us locals before they went to the online auction. You had to show up in person at the courthouse to "bid" and No one ever bid against each other. Easy enough to research property owners that would wait the maximum amount of time (3years) before paying off their tax burden and those are the properties you wanted to bid on. About 3-4 years ago the process moved online and now investors from all over can bid and often bid the properties up, generally 10% or so above the taxes. you can get burned quick if you haven't done your homework and the property owner pays their taxes off before you recoup whatever you overbid. Also I've noticed properties that locals would never have touched being bid on since out of town investors aren't doing their due diligence. For me it was never about trying to acquire property cheap, but a good, safe investment. I stay away from the process now.

property tax liens are what you are after.

3 year redemption period. after that if they do not pay up you can foreclose. get ready to be in bidding wars with mortgage companies who do not want to lose their lien position. a property tax lien takes priority over a mortgage lien.