If you’re interested in or work in the real estate industry, you’ve probably heard the term “deed hoarding” at some point. Deed hoarding is the method of obtaining tax sale property without going to the auction: you approach owners of tax delinquent property just before they are about to lose the property permanently and offer to buy their property. house for a fraction of its value.
The term “deed hoarding” was probably coined by the large real estate investment firms that buy these properties at tax auctions. Deed squatters and big real estate companies are not friends. Deed hoarders often seize the deeds from these large tax sales companies just before they are about to foreclose. They also call scripture hoarders “scripture collectors” and “bottom feeders.” The big tax companies, needless to say, are losers who don’t care much about the tax delinquent owner and care primarily about their bottom line.
Since there is still about a year after the property has been “sold” at auction before the large investment tax firm can foreclose on it (sold in quotes, because it is not In fact sold that day), this is the best time to approach tax delinquent owners. At this point they sell a lot, and they know it. Many have already moved on at that point, and are happy to sign their deed to a deed grabber just to keep the big company from getting it. You can get deeds during this time for as little as a few hundred dollars.
Deed takers are often the last source of help for delinquent homeowners, and without the deed taker coming and buying your home for something, the owners would lose everything. It’s a win-win situation at that point. Here’s how to get a tax sale property without going to the auction while helping the owner. Don’t let the fact that these big companies call you a “deed grabber” stop you. You can go eat pasta!
