How Can You Help Someone In Preforclosure
I am new to buying income prooperty i see preforeclouses and would like to buy some of the notes some of them are very low. Is there a way to make money on pre foreclosures.
I am new to buying income prooperty i see preforeclouses and would like to buy some of the notes some of them are very low. Is there a way to make money on pre foreclosures.
Absolutly. Preforeclosures are one of the best markets to hit. Anyway, first thing to do, find out if the owner is wanting to be helped. Sometimes, people want to suffer and try to work it out themselves. Just say ok, thank you for your time, here is my business card incase you reconsider.
[addsig]
If your strategy is to purchase notes secured by mortgages (or whatever instrument is used in your jurisdiction), then you'll have little contact with the homeowner... other than to initiate or continue the foreclosure action.
If you have the cash to purchase the security instrument... first make certain that payoff is no more than 60% to 70% of the as-is, FMV of the property. Considering the foreclosure timeframe, that cushion of equity can (and does) evaporate quickly.