Hybrid Investing Overview

Understanding Hybrid Tax Sale

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What is A Hybrid Tax Sale?

Understanding a Hybrid Tax Sale. When it comes to tax sales, investors usually think of tax lien sales or tax deed sales, but there is a lesser-known third option: a hybrid tax sale. In this article, we’ll break down how hybrid tax sales work and why they may be worth considering for investors seeking a profitable and relatively safe investment.

Hybrid Tax Sales are a mix of tax lien and tax deed sales. In some states, a property goes up for sale as a tax lien certificate, but if the lien isn’t redeemed (the back taxes aren’t paid), the buyer can receive a deed to the property.

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This two-step process provides flexibility:

  1. First Step: Purchase the tax lien, which allows the property owner time to pay off their debt.
  2. Second Step: If the owner fails to redeem the property within the redemption period, the lienholder can acquire the deed.

This hybrid m

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Understanding Hybrid Tax Sale

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