Secrets of Tax Lien Investing Revealed with Dale Merkord

Secrets of Tax Lien Investing Revealed with Dale Merkord

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Welcome back to The Authority Formula Podcast. We’ve got a really good topic today—one that I’ve been familiar with for a while. It’s great that we’re finally able to get together because I want to share some topics today that you’re an expert at. With The Daily Mastermind, we’re always talking about ways people can increase their life and their lifestyle—whether it’s their mind, money, body, or business. This episode is going to be one of those wealth planning discussions.

If you don’t know Dale, he’s a seasoned real estate investor specializing in U.S. tax liens and tax deeds. He’s also one of the founders of Certainty Investment Group, a firm known for providing investors with 12–15% annual returns fully secured by real estate. Dale is passionate about simplifying the often complex state and county tax sale process. This conversation dives into what many consider one of the best-kept secrets of the high net worth—tax liens and deeds.

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Understanding Tax Liens and Deeds

Could you start out by giving us a bit of your background? You started pursuing bank foreclosures before moving into tax liens and deeds. What brought you into this whole category of investing?

I started out as a realtor—I’ve been a realtor in three states—and soon after, I got involved in investing, typically with bank foreclosures. That’s where I started. I remember attending one of the many county auctions, and on the side, I noticed guys doing a different type of sale from the sheriff’s department. This was many years ago. I inquired about it, and it just fascinated me.

Tax sales have been going on for over 200 years, and many are still done the same way today. There are over a thousand jurisdictions that conduct tax sales—some every month, some just a few times a year. Every state has different rules, and even counties within the same state can have their own variations. Some cities and jurisdictions even run their own processes. It can be quite a daunting and complicated system.

I’ve noticed that, especially over the years, talking with people trying to expand their retirement portfolio or investments. There are so many things you just don’t realize. Maybe for those unfamiliar with tax liens and deeds, give us a little understanding of what that is and how the process works before we get into the details of what your company does.

Tax liens and deeds are the way states and counties operate. They fund schools, city services—everything. It’s really the lifeblood of counties and jurisdictions. Every year, property owners have taxes to pay, and some fall behind. After a certain point—depending on the state—they put the property up for sale through auctions. That’s where investors like myself come in to buy either the tax liens or the tax deeds.

“Tax sales have been going on for over 200 years, and they’re still one of the most reliable ways to invest if you know how to do it.”

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Why Tax Liens Offer Guaranteed Returns

A lot of people don’t really understand that there’s a lot of complexity to it. And they also don’t understand that there are guaranteed returns involved. Why is it that you can say there are guaranteed returns for these liens and deeds?

Especially when referring to liens—also called tax certificates—each state sets its own rates. Some states offer 8%, others 14%, 15%, even up to 20%. These are mandated rates of return by the state. We do a lot of that, and we also deal in tax deeds where you actually buy the property and get a deed to it.

And you guys have been doing this for a while—you know where to go and what to do.

That’s right. Experience makes all the difference in this space.

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Challenges in Tax Lien and Deed Investing

What kind of challenges do people face when they jump into this market with this type of investing?

It’s a tedious process. The state gives you very little information on the property other than the legal description. You’ve got to find out everything on your own—whether it has other liens, what the physical condition is, or if the property even exists.

Sometimes the county provides a picture, but most don’t. And even if they do, that photo might be three or four years old, maybe pulled from Google Maps or Zillow. You really have to look at every property yourself. Otherwise, you might buy something that’s in terrible condition and not realize it until it’s too late.

You’ve got a good example of this, right? People think they can jump in on their own and don’t realize the challenges. Could you share a story of when that happened?

Many examples come to mind, but there’s one famous story about a father-and-son team in Florida. They thought they were buying a beautiful, expensive home at an auction. But what they actually bought was the strip of land between that property and the next one. It was just wide enough to fit a lawn chair. They even filmed themselves sitting there in front of the house they thought they owned.

Wow! I think a lot of people feel like they can just dive in without learning from the experience of others. Like you said, it’s a complex process. So help us understand—what makes tax lien and deed investing so much different than traditional real estate strategies, in terms of opportunity and risk?

It can be extremely lucrative, but it’s also very hands-on. Sometimes you can get property for ten to twenty cents on the dollar. But you’ve got to do a ton of research and due diligence beforehand. You have to physically inspect each property.

For example, at the last auction I attended, there were about 150 properties. I determined 75 might be decent targets, did my due diligence on those, and personally visited over 50. Then, right before the auction, many property owners paid their taxes—sometimes even on the last day—and those properties were pulled from the sale.

That’s just part of the process. You might have to evaluate 50 to 100 properties to get one or two solid deals.

“It’s not a get-rich-quick system; it’s a research-and-diligence system that rewards patience and precision.”

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Certainty Investment Group: A Unique Approach

Your company, Certainty Investment Group, offers investors 12 to 15% returns that are guaranteed and secured by real estate. How can you achieve those kinds of consistent, safe returns with this type of investing?

Tax sales can be very lucrative if done properly. If you acquire properties at a good enough price, you can afford to pay investors 12 to 15% and still maintain profitability. You just have to be careful and disciplined.

Unlike many in this industry—where you’ve got gurus and educators selling “how-to” courses—you decided not to go that route. You handle all the due diligence and inspections for your investors instead. Why did you build your business this way, and how does it set you apart from others in the industry?

We’ve always been hands-on from the start. We didn’t want to just teach people how to do this. We wanted to provide a complete service. It’s a “set it and forget it” type of investment. We handle all the due diligence, physical inspections, and acquisition steps. Our investors simply enjoy an attractive return without the stress of doing the legwork themselves.

That’s great. You mentioned earlier that photos online often don’t tell the full story. How do you make sure your team gets an accurate picture before making investment decisions?

We start with online research, but then we visit every property in person and take our own photos. These aren’t open houses—these are potential tax sales, often occupied or vacant. We verify occupancy, assess roof and structure conditions, check electrical systems, and make a rough estimate of any needed repairs.

That level of hands-on work clearly helps reduce risk.

It really does. It’s what gives us our edge and helps protect our investors.

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Market Insights and Investment Strategies

What do you see happening in the industry right now? Do you see things shifting in any particular direction? You’ve got a pretty good pulse on the market. Where do you do most of your investing?

We specialize primarily in Arkansas, Mississippi, and some parts of Texas. Those are our key markets.

Have those markets changed much recently? What’s the overall state of the marketplace right now? A lot of people wonder if the timing is right or if current conditions affect this kind of investing.

Tax sales happen every year, regardless of the economy. People get behind on taxes in every type of market. This system has been around for 200 years, and that hasn’t changed. It might increase slightly during tough economies, but overall, tax sales continue steadily no matter what’s happening in the broader market.

That’s interesting—it’s one of those spaces that isn’t directly tied to traditional market swings. So, what type of investors generally work best with this kind of opportunity? Are they people looking for a fixed return rather than active real estate investors?

Most of our investors are individuals who want a steady, attractive return without the hassle. Many of them have self-directed IRAs, which can be invested in alternative assets like tax liens and deeds. They want their money working for them but don’t have the time or desire to manage the properties themselves.

That makes sense—people with existing retirement accounts or busy entrepreneurs who prefer a passive approach.

Exactly. Investing in tax sales can be a full-time job. It requires a lot of research and travel. Most people are too busy running their own lives or businesses to do that. That’s where we come in: we take on the heavy lifting so they can earn a safe, consistent return.

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Real-Life Examples and Returns

Can you give an example of a deal that went really well—something that shows how these liens and deeds can pay off in a big way?

Just last week, we had a great example. I evaluated 50 properties across three different counties, went through the entire auction process, and picked up a few great deals. One of them was a 6,000-square-foot commercial building. Believe it or not, we got it for less than $10,000.

The county had it appraised at over $137,000, and although it needs some work, it’s still an incredible return.

That’s amazing. And you’re able to do that consistently because of the due diligence and systems you’ve built.

Exactly. At that same auction, I personally visited over 50 properties and ended up buying just three or four. That’s the reality of the process—you evaluate a lot of opportunities to find a few strong ones. But when you do, the results can be phenomenal.

Do you provide education for people who want to start investing this way, or is it primarily a hands-off experience for your clients?

We focus on managing the investments directly for our clients. We’re not in the education business. There are plenty of others who offer “how-to” courses. We prefer to handle everything for our investors. That said, we’re happy to answer questions and explain how the process works for those investing with us.

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Common Mistakes and How to Avoid Them

What would you say are some of the common mistakes investors make when they try to start doing this themselves, and how can they avoid them?

The biggest mistake is getting overly excited by what they see in webinars or online. There are plenty of programs that make this look easy. People rush in, sign up for an online auction, and buy without ever inspecting the property.

That’s where trouble starts. You have to do your own due diligence—physically visit and inspect each property. The process is simple, but it’s not easy. You can’t rely solely on photos or assumptions.

Right, like anything in real estate—it’s about doing the homework. And if you don’t have time to learn every detail, that’s when partnering with experts like you makes sense. So, what’s the biggest value your company provides to investors? Why should someone choose to work with you?

We know what we’re doing. We’ve been doing it for years. We buy properties the right way, and every investment we make is fully secured. Investors earn 12 to 15% returns and receive quarterly reports on how their investments are performing.

It’s truly a set-it-and-forget-it model. They don’t have to worry about the process—we handle everything.

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Conclusion and Contact Information

If people want to get in touch with you or connect with your company, what’s the easiest way for them to do that?

The best way is through our website: CertaintyInvestmentGroup.com. It’s got plenty of information, including videos that explain what we do. Visitors can also call us directly if they prefer to speak one-on-one.

Perfect. I’ll make sure to include all of that in the show notes. So, for those listening—if you’re interested in tax lien or deed investing but don’t want to deal with the complexity, or if you’ve tried real estate investing before and want a safer, more predictable path—check out Dale and his team.

They’ve got a great system, and from what we’ve discussed today, it’s one of the most overlooked yet powerful wealth strategies available.

If you’ve been curious about tax liens or deeds, visit our website and give us a call. We’re happy to answer questions anytime. Just remember to do your due diligence—research the process, understand the basics, and make sure you’re comfortable with how everything works.

I completely agree. Like anything in investing, due diligence is key—whether it’s researching the opportunity or the people you’re working with. And that’s why conversations like this are so valuable.

Life and investing can both be complicated, and it’s always best to work with a specialist. There are so many ways to invest in real estate, but I truly believe tax sales and deeds are one of the most lucrative paths when done right.

That’s exactly why we wanted to bring this topic to our listeners today. It’s something that’s been around for hundreds of years, yet most people still don’t know about it. The reality is, many of the secrets of the wealthy aren’t taught in school—they’re learned through connections, experience, and conversations like this.

It’s interesting, too, because many hedge funds and large banks—like Bank of America and JPMorgan—invest heavily in tax liens. They do it because the returns are guaranteed and secured by real collateral. These institutions invest millions at a time because the strategy is stable and reliable.

That says a lot. If the biggest financial institutions in the world are using this approach to generate guaranteed returns, that’s worth paying attention to.

Exactly. It’s one of the few investment strategies where the risk is measurable and the returns are predictable.

I love that. And to everyone reading—if you’ve been thinking about building wealth or growing your investments, tax liens and deeds are definitely something to explore. As always, remember—it’s never too late to start living the life you’re meant to live and doing the things you want to do.

If you’ve thought about investing and want to grow your wealth safely, this is a powerful option. Visit Certainty Investment Group, do your homework, and take the next step.

We’ll link everything in the notes, and as always—stay intentional, stay focused, and we’ll see you in the next episode of The Authority Formula Podcast.

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About George Wright III:

George Wright III is a Proven, Successful Entrepreneur- and he knows how to inspire entrepreneurs, companies, and individuals to achieve Massive Results. With more than 20 years of Executive Management experience and 25 years of Direct Marketing and Sales experience, George is responsible for starting and building several successful multimillion-dollar companies. He started at a very young age to network and build his experience and knowledge of what it takes to become a driven and well-known entrepreneur. George built a multi-million-dollar seminar business, promoting some of the biggest stars and brands in the world. He has accelerated the success and cash flow in each of his ventures through his network of resources and results driven strategies. George is now dedicated to teaching and sharing his Prosperity Principles and Strategies to every Driven and Passionate Entrepreneur he meets. His mission is to Empower Entrepreneurs Globally to create Massive Change and LIVE their Ultimate Destiny.

About the Guest

Dale Merkord is a seasoned real estate investor who began his career pursuing bank foreclosures before discovering the opportunities in U.S. tax lien and tax deed sales. Fascinated by the consistency and profitability of this centuries-old market, he has dedicated himself to mastering the complex, state-by-state process of tax sales. Through Certainty Investment Group, Dale offers investors a truly passive way to earn secure annual returns of 12–15%, handling all the research, due diligence, and property inspections required to make smart, low-risk investments. His mission is simple: take the guesswork out of real estate investing and provide safe, reliable returns that perform in any economy

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Guest Resources

Website: https://certaintyinvestmentgroup.com/

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