Homeowner Deal
Even though you might have more than enough time to work on buying a property before it goes into foreclosure, you might want to jump on property you like before the lender gets involved. If you are looking, you’ll find plenty of homeowners right now who could use your help to get out from underneath their mortgage.

Usually, a homeowner who is several months behind on the payments will be willing to work out a deal with you. You’ll need to contact the lender, but the lender already knows there is a problem. Taking into account that lenders don’t want to get involved in real estate deals, they will be more than likely to accept a very reasonable offer rather than let the house go through a foreclosure.

Auction
Sometimes auctions are closed bid and sometimes they take place at the courthouse.

Homes that are years behind on their property tax or are facing foreclosure are auctioned to the highest bidder. You can make a great deal on a home at the auction, but have the financing in place before you try to buy a home at the auction.

Most auctions require a down payment the day you win the bid. Then, you’ll have about 30 days to secure the rest of the money. But, winning a bid at an auction means that you have bought a house below its value. The lender will go after the previous homeowner for the balance.

Lender Deal

When the lender takes control of the property, the homeowner is no longer in the picture at all. You have to deal with the lender alone. But, this is a sweet situation.

Approach the lender with a creative offer that works great for you. Rather than deal with a house in foreclosure, the lender will actually save money if you give them a reasonable offer. But if you want the home, now is the time to buy it. It won’t be long until it’s on the market.

Real estate investors who know about the real estate in their area can find great deals if they are willing to dig and discover. It can be a full-time job, but it’s a rewarding full-time job. People facing foreclosure can certainly use your creative investing skills to keep their credit intact.

So, your options are:

1. Deal with the homeowner.
2. Wait for it to be placed in the auction.
3. Deal with the lender after they’ve taken action.

Either way, buying foreclosures should always be part of building your real estate business.

Start applying these principles today and begin flipping houses for FREE by starting your 7 Day Trial at INSTANTRealEstateSolutions.com! The final part of Signs to Great Real Estate Investing will soon be on its way.

Brad Wozny
Founder, www.INSTANTRealEstateSolutions.com™
Creator, 8 Figure Empire™

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