Finding Pre-foreclosures
I'm interested in obtaining free lists of homeowners that have defaulted on their loans, but have not gone through the foreclosure auction yet. Is there a way of getting this information for free (or at a really good price)? Also, what is the best way to finance a pre-foreclosure purchase (i.e., what creative financing techniques are available) so I use as little of my own money as possible?
Thanks,
Francis
Your not going to have any luck finding that information for free. There are several list providers in Los Angeles. The information dosn't come cheap. Probibly the best provider in L.A. is Retran. Its about $130 per month.
Visit your local county recorders office, or visit your county recorders office online. You can view most records online, and if you need more detailed info you get just write down a docket number, drive to the county recorders office and sit at one of their internal computers and see all of the records you want. Look for - Notice of defaults,and notice of sale( for trust deed sales) in the website and you'll get what your looking for.
The best way to finance a preforclosure is to have a motivated seller and all of your ducks in a row. If you think you qualify for a loan, you should apply for the most financing available. Many lenders offer 100% financing for investment properties, but they require you to have 6 months of debt service in reserves for the just in cases! Usually you can get into a property with no money involved by having the seller pay all closing costs(must be allowed by your lender), but you will still need your reserve accounts to qualify. Good Luck!
Like it was said above. Go to the courhouse of the county you want to buy in and check the NOD's.
For creative financing...check out the "subject to" forum and the "short sale" forum.
good luck
Homeselling is incorrect. PM me. I have good free info. for you.
Dan
Your will definitely have to have some money in reserve to do a preforeclosure deal. If you focus on trying to get deals right before they go to auction (1-3 weeks before auction), you will not typically have the normal amount of time to get traditional financing. So you will need to have the cash on hand to cure the loan in default. I have tried in the past to give the home owner about $5k at closing for moving expenses and give the remaining balance to the owner as a straight note. I also always try to take the property subject to the existing financing (see "Subject To" forum). This makes my closing time much shorter because I do not have to jump through the hoops required by mortgage companies (appraisels, paperwork, etc) However, where I invest is very competitive. The investors that can give owners more money at closing and close the fastest using cash seem to get the most deals.
I have access to tons of lists. E-mail me at **Please See My Profile**
Can anyone provide "how to" specifics for Texas?
Thanks,
gradyb