Indiana has been good to me and I have made a lot of money there. How you ask? Through Tax Commissioners Certificate Sales. In Indiana when a property has been offered for sale as a Tax Lien and goes unsold the county then has the option to sell it as a commissioners certificate.
Pictured is a property I purchased at a Tax Commissioners Certificate Sale in Elkhart, Indiana. Elkhart is a city that is considered to be on the decline as many manufacturing jobs have left the city, many people choose not to invest there based on that fact alone. However as long as proper due diligence is done and you know exactly what you are bidding on deals are to be had.
Based on my research I knew that this property has was owned by a landlord who died. Commissioners Sale automatically pay 10% interest plus all your expenses if the property is redeemed within the 4 month redemption period. If it is not redeemed you own the property outright after 4 months. Usually when a property owner dies it takes some time for the estate to be notified and the appropriate paperwork to be filed. Knowing this I knew that the chances of the property being redeemed where high.
This is how the deal broke down. I purchased the Commissioners Certificate for $986 and paid $550 in attorney fees. After 4 months I received a cheque in the mail from the county for $1634.60, which included my attorney expenses and interest, the property was redeemed!