How to buy Pre-Foreclosure & REO's in So. CA.
I am new to the REI buisness and am looking for some help. I look at the ads in the paper for Notices of Defaults and trustees sale but I'm not quite sure what to do next. Do I have to buy the property at the sale? Can I make a deal before or after sale with the bank? Looking for answers. 
[ Edited by ashleys36 on Date 06/11/2003 ] [ Edited by ashleys36 on Date 06/11/2003 ]
ashleys36,
No! You don't have to buy at a Trustee Sale. The bidders at the sales in So. Cal. have a tendency to bid the property up to around 84-87% of the Fair Market Value (FMV). That doesn't leave much room for comfort/profit. Besides, you must have CASH to even bid!
Yes, it is always better to approach an owner BEFORE the Trustee Sale. Also, I know for a fact that each homeowner who appears on the NOD list will be swamped with mail from investors trying to buy their house. I've seen some of them show up at the Trustee Sale (to see who buys their house) carrying BAGS of unopened mail from would be investors. Therefore, I recommend you knock on their door and introduce yourself as someone who is interested in buying their house and could possibly have a solution to their problem.
By the way, which county are you in?
HTH.
[addsig]
If you find an NOD property or pre foreclosed property, you can write a letter stating that you want to help them.
Go to freebies above and I believe there is a "deliquent owner" letter you can get ideas from.
Verne
Is there a specific book that deals with buying pre-forclosures and all the legal jargon that goes with it?
Thank you,
CaChinGuy
Yea there is a site you can ck for free
about pre foreclosures.
email