One of the biggest blunders I see Tax Deed investors make is jumping into a purchase without a solid plan for what comes next. This single oversight can turn a promising investment into a financial headache.
So, what do I mean by “planning for the purchase”? Watch this video to find out.
The Auction Chaos: Lessons Learned
In the last few months, we’ve attended over a dozen sales and watched self-proclaimed “investors” bid properties up to their full market value. This is a recipe for disaster. Why? Because it leaves no room for profit. You’re effectively paying retail prices at a venue that’s supposed to give you a competitive edge.
Tax Lien & Deed investing isn’t the problem here. The issue is the lack of understanding and preparation, particularly when it comes to exit strategies.
Why Exit Strategies Are Non-Negotiable
Before you bid, you need to know exactly how you’ll profit from the property. Will you:
- Flip It? Plan for a quick sale to another investor or homebuyer.
- Rent It? Ensure the numbers work for long-term cash flow.
- Wholesale It? Line up buyers beforehand to offload the property fast.
- Hold It? Consider the costs of keeping it in your portfolio for future appreciation.
Without this clarity, you could find yourself stuck with a property that doesn’t align with your goals.
Avoid the “It Doesn’t Work” Trap
When investors skip the critical step of planning their exit, they often end up blaming the strategy instead of their approach. Tax Deed investing works, but only if you work smart.
Let’s Change Your Approach
Take the time to analyze every property and think through your exit strategy before raising your bidder paddle. Trust me, this one step can save you from unnecessary frustration and ensure every purchase aligns with your goals.
Don’t let that be you.
Let’s change the way you invest,
Dustin
PS: Are you guilty of winging it at auctions? It’s never too late to improve. Watch the video above and let’s start crafting your success.
