Although smaller and in some ways more cumbersome to navigate, Connecticut offers some of the best rates in the country for investing in tax lien certificates. Although tax deed sales are not offered, there are multiple opportunities to make money in this state. It is just a matter of looking into counties of interest, and learning the laws in each.

Tax Lien Certificates in Connecticut

Overall, the interest rate in this state on government issued tax lien certificates is around 18 percent--one of the higher rates in the country. Careful research about the county involved is necessary, as the interest varies depending on the auction type and competition for the same lot. Nowhere in Connecticut are there tax deed sales, but in many ways, this may be to an investor's advantage.

The redemption period on tax lien certificates also varies in this state, meaning that you may be able to turn over an investment more quickly. Because much of the housing is so old, however, one must avoid negligent homeowners looking to dump off property that needs countless repairs. As is always the case, be careful what you buy--and always inspect the neighborhood and house before you bid.

Although the laws vary by locality, Connecticut offers some of the better opportunities for purchasing tax lien certificates. No matter where you are from, the interest rate is phenomenal, and the short redemption period allows for a fast return in many places.