What I Learned at My First Tax Sale...
It was 2002 and I was at my first tax sale...and very disappointed.
You see, I'd spent the last week driving from dawn til dusk, inspecting hundreds of properties that were going
to be sold at my county's tax sale...and I'd identified dozens that I wanted to buy if I could.
I had drained all my bank accounts and taken cash advances on my credit cards, so I'd be ready to bid (all cash was
required at the sale).
Problem was - a couple bidders would not put their paddles down! When a property came up for bid, it was a fierce game
of "chicken" with the same few guys in the room bidding the properties up to, or even beyond, their retail value.
I've observed that phenomenon at many, many tax sales since.
Turns out that much of the time, you'll be facing other bidders that are not using their own money, and are actually
being paid by how much they "spend" at each tax sale!
Even then I knew that it didn't make sense to bid against "stupid money". So I walked out of the sale with nothing.
In the meantime, I've solved that problem (along with many others that have to be faced at tax sales).
More on that soon!