The Tax Lien Certificate market offers a lucrative investment opportunity with diverse dynamics across various states. Understanding the specific auction processes and market conditions in each state is a critical yet overlooked aspect for new entrants. There are only a handful of national players within the industry, and as current market dynamics push out the less sophisticated players, the remainder stand to benefit from enhanced yields and outsized growth and improved returns.

We see significant opportunity for investors over the next 24-36 months, as Certificate supply increases and the competitive bidding environment rationalizes. Tech-enabled players that span multiple geographies with adequate capital are poised to achieve outsized growth and returns.