Do you really pay taxes buying/selling record collections?
You will when you turn up with $10 - $14,000. What're you gonna do, bury it in a can? You're better off to pay taxes and invest it then just let it sit being inflationed away into nothing.
Haha.. the majority of my collection is poo. Showandtell has a good idea tho: make a website and then sell all the things people have been salivating over for years. oh wait...
" Is it possible to earn an interest rate of 16% or more, secured by real estate, with collections handled by a government agency?
The amazing answer is, "Yes!"
In The 16% Solution, Joel S. Moskowitz explains how you can get these returns by investing in tax lien certificates.
Local government agencies have a problem. People don't currently pay their property taxes. In order to improve their cash flow, the counties in many states (unfortunately, California isn't one of them) sell the receivables for property taxes, called tax lien certificates, to investors. The investors receive the penalties and interest from the taxpayers. The tax lien enables a qualifying lien holder to foreclose on the real estate and has a lien position superior to a first deed of trust.
Moskowitz compares how the returns and rules vary from state to state, and provides detailed contact information for you to get started.
Since the travel expense to buy a tax lien is an acquisition cost, the expense is (eventually) tax deductible (when the lien is paid off). Some "vacation" states that offer tax lien certificates include Arizona, Colorado, Florida, New York, Massachusetts and Vermont.
If you participate in the auctions to buy these investments, tax liens can require a considerable investment of your time. Some of the liens unsold at auctions can be purchased by mail. In some cases, you will want to visit the site of the property before making the investment. You might need to hire a local attorney if you foreclose on a tax lien.
If you have a significant amount of cash to invest and you're looking for high, secured returns with the potential of receiving a windfall through foreclosure, you might want to look into the advantages of tax lien certificates. A good starting point would be to read The 16% Solution.
"
Real talk. Now I am waiting for JP to tell us about what property is is buying outside of NYC.
Selling 3 records and selling 3000 records are two very different things
You are taking less money per record for the luxury of not having to sell each thing individually, a new problem on every piece you move... someone is coming to your house, boxing your shit up and carrying that shit out of there...
If you want to get top dollar for every record you own then you should hire a staff and start Pearsoning the game on ebay. If you want to move your whole collection in one fell swoop then look realistically at who's gonna buy it. How many people are out there who will drop 20 large on a record collection? Opportunity cost man
Also you should consider that these records may be worth less in the future - hip-hop records are already a lot different price-wise then they were even 5 years ago.
Also you should consider that these records may be worth less in the future - hip-hop records are already a lot different price-wise then they were even 5 years ago.
Seriously. I was getting 20, 30 bucks for King Tee 12"s 2 years ago... I couldn't believe it. Now? Fuggit. It's not worth it to sell $5-10 12"s online. Boxing it up, shipping em out.... I'd rather sell them to my local spot for $2-5 each and do it TO DAY.
How firm was the offer? Dudes like that enjoy talking a little smack every now and then just to show you they can drop the cash if they need to.
That aside, what would you do with 10g's dropped in your lap tomorrow? Do you have loans to pay off? Any kids? You married? Are you a cash cow already and 10g's might not even be a big deal?
I don't know what your situation is, but in my experience when dudes have a 5 figure stack dropped in their lap it doesn't all go to good use right away. A smidge gets spent on some steak, a bit goes to the tittie spot, then the rest becomes the problem.
And forget a mutual fund, don't waste your time. You'd be a slave to the market as a whole and 10g's ain't gonna do shit for you. Over time fees and taxes are going to chop the shit out of it. Better to find a couple of good stocks and invest in them directly than let a mutual fund fuck things up for you. People get too comfortable in them shits and then when the market dips they get scared and run. 10g's dropped in the lap, dude you're gonna become impatient with the slow return from a mutual fund anyway. Damn man, there are some quality blue chip companies where the dividend return alone is 5-7%, notwithstanding any gravy from a stock percentage gain.
Doesn't matter, I don't think you are going to sell.
And forget a mutual fund, don't waste your time. You'd be a slave to the market as a whole and 10g's ain't gonna do shit for you. Over time fees and taxes are going to chop the shit out of it. Better to find a couple of good stocks and invest in them directly than let a mutual fund fuck things up for you. People get too comfortable in them shits and then when the market dips they get scared and run. 10g's dropped in the lap, dude you're gonna become impatient with the slow return from a mutual fund anyway. Damn man, there are some quality blue chip companies where the dividend return alone is 5-7%, notwithstanding any gravy from a stock percentage gain.
How do you dodge fees and taxes with stocks? Mutual funds are just groups of stocks - and if you invest in a no-load fund, there are practically no fees. And with mutual funds, your money is constantly compounding... And you don't have to be a slave to the market as a whole. There are funds that cover all aspects and niches.
Comments
You will when you turn up with $10 - $14,000. What're you gonna do, bury it in a can? You're better off to pay taxes and invest it then just let it sit being inflationed away into nothing.
google results:
" Is it possible to earn an interest rate of 16% or more, secured by real estate, with collections handled by a government agency?
The amazing answer is, "Yes!"
In The 16% Solution, Joel S. Moskowitz explains how you can get these returns by investing in tax lien certificates.
Local government agencies have a problem. People don't currently pay their property taxes. In order to improve their cash flow, the counties in many states (unfortunately, California isn't one of them) sell the receivables for property taxes, called tax lien certificates, to investors. The investors receive the penalties and interest from the taxpayers. The tax lien enables a qualifying lien holder to foreclose on the real estate and has a lien position superior to a first deed of trust.
Moskowitz compares how the returns and rules vary from state to state, and provides detailed contact information for you to get started.
Since the travel expense to buy a tax lien is an acquisition cost, the expense is (eventually) tax deductible (when the lien is paid off). Some "vacation" states that offer tax lien certificates include Arizona, Colorado, Florida, New York, Massachusetts and Vermont.
If you participate in the auctions to buy these investments, tax liens can require a considerable investment of your time. Some of the liens unsold at auctions can be purchased by mail. In some cases, you will want to visit the site of the property before making the investment. You might need to hire a local attorney if you foreclose on a tax lien.
If you have a significant amount of cash to invest and you're looking for high, secured returns with the potential of receiving a windfall through foreclosure, you might want to look into the advantages of tax lien certificates. A good starting point would be to read The 16% Solution.
"
Real talk. Now I am waiting for JP to tell us about what property is is buying outside of NYC.
Im sure thats just the tip of the iceberg.. butt hat has gotta yield some pretty graphic results.
I know that son. I thought you were asking if I HAD tax liens against me. !!!
That's an interesting concept, I'll have to check out some books on that.
You are taking less money per record for the luxury of not having to sell each thing individually, a new problem on every piece you move... someone is coming to your house, boxing your shit up and carrying that shit out of there...
If you want to get top dollar for every record you own then you should hire a staff and start Pearsoning the game on ebay. If you want to move your whole collection in one fell swoop then look realistically at who's gonna buy it. How many people are out there who will drop 20 large on a record collection? Opportunity cost man
Also you should consider that these records may be worth less in the future - hip-hop records are already a lot different price-wise then they were even 5 years ago.
My 2.
YES!
That aside, what would you do with 10g's dropped in your lap tomorrow? Do you have loans to pay off? Any kids? You married? Are you a cash cow already and 10g's might not even be a big deal?
I don't know what your situation is, but in my experience when dudes have a 5 figure stack dropped in their lap it doesn't all go to good use right away. A smidge gets spent on some steak, a bit goes to the tittie spot, then the rest becomes the problem.
And forget a mutual fund, don't waste your time. You'd be a slave to the market as a whole and 10g's ain't gonna do shit for you. Over time fees and taxes are going to chop the shit out of it. Better to find a couple of good stocks and invest in them directly than let a mutual fund fuck things up for you. People get too comfortable in them shits and then when the market dips they get scared and run. 10g's dropped in the lap, dude you're gonna become impatient with the slow return from a mutual fund anyway. Damn man, there are some quality blue chip companies where the dividend return alone is 5-7%, notwithstanding any gravy from a stock percentage gain.
Doesn't matter, I don't think you are going to sell.
How do you dodge fees and taxes with stocks? Mutual funds are just groups of stocks - and if you invest in a no-load fund, there are practically no fees. And with mutual funds, your money is constantly compounding... And you don't have to be a slave to the market as a whole. There are funds that cover all aspects and niches.