How To Help People That Are Facing Foreclosure?
I am new to RE, but have been visiting this form quite regularly.
I want to make $$$ helping people that are approaching foreclosure. Currently, I have contracts with several banks, doing field inspections on property's that are about to go to sherrif's sale. When I go to see if the property is still occupied or give them a letter from the bank, 60% of them start crying or give me there sad story of why they are about to lose their house.
I do inspections on about 300 houses a week in Illinois. I know the actual name and address of pre-foreclosures is valuable. But, I want to go beyond that, and make more $$$ for me, and help these people that trust me after I listen to them with sincerity.
20% of the time, I hear that they were trying to sell their house with an investor, and it didn't fall through so now they must look for somewhere else to live.
I cover Cook, DuPage, Lake and McHenry Counties in Illinois. Any advice on how to get started in this field? Any investors I can flip contracts to, or do I need my own money?
In my opinion I would zero in on the properties that are good deals and when I say good deals...you have to do your homework. Research the properties by finding out the balance of the mortgage, finding out the appraised value, find out if there are liens/judgments on the properties, if the property is in need of repairs, etc...
Once you have done your homework on a property, you can do a subject to/quitclaim for the ones that have people living in them and then you can assign the deals to someone in your area or do a lease option with a potential buyer and get an option consideration fee.
Hope that helps!
Just exactly how do you get a list of pre-foreclosure properties?? Are banks and mortgage companies prohibited from giving this info out?
Paul
Preforeclosures is public information. Go to your local court house and there is a list of upcoming foreclosure. You can also check the newspapers in your town under Legal Notices. In my city, there is one paper that does that and ALL of the "pre" foreclousures are listed.
By law, before someone loses their home, the foreclosing attorney must advertise the Default Notice 3 times in a public newspaper usually with what is owed, liens, 2nd mortgages and the address and the auction date.
Hope this helps.
Dee
Your info and leads are a gold mine...you are at the early stages... you need to start bird doggin these leads....
Dave has a great suggestion.
Birddog and I'd put a twist on that you may ask the investor to include you in on contacting & negotioating with the owners in addition to your birddog fee. They are already telling you the sad stories so that may make you valuable to the deal with owner for the investor.
You can get a good referral list that way. You can learn the how to's from a pro, like getting mentoring and getting paid at the same time. It may not work but if you never ask you'll never know!
Look at the foreclosure forum there is good how to info there as well.
Good Luck you have an wonderful opportunity act on it!
[ Edited by Dreamin on Date 10/18/2003 ]