I would like to take a moment and discuss the subject of lawyers. Much maligned in our society, they do in fact, provide some valuable services.
If you are going to be active in tax sales, especially tax lien sales, you want to have a good lawyer. I have emphasized this in several posts that you should have a good lawyer who knows tax lien law. I will go beyond that say you need a good lawyer in every state you buy in.
How do you find a good one?
When we were starting up the tax lien operation at Kidder-Peabody in the early 90s we found them from the folks at the court house who dealt with them each day.
1. I would ask the Treasurers’ chief deputy, or someone in a similar position. “Give me the name of a lawyer who knows what he is doing in tax liens” – I only had one jurisdiction tell me they couldn’t do that.
2. If they tell you they can’t do that, go to the clerks office and pull the cases that relate to tax liens (applications for tax deed or cases filed to foreclose on right of redemption) and start writing down the names of the attorneys.
3. After an hour or so you will know the two or there lawyers who do most of the tax lien related cases in that jurisdiction.
When you meet with the lawyer negotiate with him and try and get a flat quote per case that he will handle. If you know it is going to cost you $400.00 per case then you can adjust your bidding accordingly. The costs vary greatly by state, and in some states you can add the legal costs to the amount owed on the lien. Of course, that doesn’t do any good if the lien doesn’t redeem, so try to keep your costs low.
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