| The Kislak Organization has established private placement funds that invest in tax lien certificates. Carefully researched and expertly managed, these funds focus on providing healthy stable returns with low risk, even in times of volatile financial markets. Purchases in our four funds combined total more than $130 million.
Tax lien certificates are sold by counties and municipalities in order to monetize their delinquent real estate taxes and obtain cash to help fund many crucial government programs and services. The tax lien certificate represents a senior secured position in the underlying real property, superior to all mortgages and other nongovernmental liens.
Because taxes amount to only a small fraction of property value, owners and related lenders have significant motivation to redeem tax lien certificates rather than lose their assets. When a tax lien certificate is redeemed, the certificate holder receives the principal invested plus interest.