Hello, is there anyone I could speak to about this subject, possibly through the phone or pm regarding different strategies? That would be great, thanks
What subject? You didn't state what you want to talk about... If it's about real estate investing in general then you should ask some questions through your post here. Then instead of getting one answer you'll get different views from different people.. so ask away here.
If youre looking for where to get started, I'd suggest reading up the different types of investing and then read all the posts on BP on that topic.
The type of investing you want to do will depend on such things as how much money you have now, your short and long term goals, how much knowledge and time you have etc...
I think Greg will speak about Foreclosure themes, its the Foreclosure Forum^^.
I am experienced. Why not ask your specific questions regarding foreclosures and pre-foreclosures right here and I, along with my fellow BP Nation top dogs, will answer your questions for the benefit of all to read.
Well, what kind of things can you do to buy property after the sheriff sale and during the redemption period. how does this all work, I know this pretty advanced and many people don't talk about it because it's where the real money is made.
possible to talk to you on the phone will? if not, that's ok. Thanks
AT the Sherriff sale or "after" the sherrif sale?
Here is the thing, in large cities like here in Los Angeles, buying at the courthouse steps is fraught with danger and it is very hard for the "small guy" to get in there and get a good deal amoungst the big boys who have been there for generations. They can eat you alive and spit you out.
Also, you have the dangers of not having a free and clear title. One mistake could destroy you.
For starting out, I suggest you work with somebody who buys at auction and could re-sell (whoelsale) to you for a slight mark-up, but give you free and clear title. You can also go the pre-foreclosure route, finding the motivated homeowners who are going to lose their home to the auction soon. Then short sale there home. This strategy allows for little to no money out of yoru own pocket, other than a small EMD and marketing budget.
What other specific questions do you have?
Phone conversation? - Sure, but not today. Possibly Tuesday, but lets start here. Ask away!
Leaving the office now, will return tonight to check your questions.
After, lets talk sometime. Thanks Will
Greg, this forum exists so that people can post their questions and get answers from others and also for the benefit of other readers who learn from your questions and the answers they get. If you take your question off-line so soon you are reducing the value of the forum experience. Please post your questions here so that we may all benefit from it.
I believe your question pertains to acquiring the debtor's right of redemption in those states that have a redemption period. This is an interesting question and it will be great to see the discussion online.
My two cents on it: It's probably a good idea in those states where the right of redemption gives you the right to redeem based on the value at which the property was sold at foreclosure. But for states where the remeption value is the amount owed on the original debt plus interest and costs, it may not work for most properties in the current market environment.
Originally posted by Greg Park:As Vikram stated, ask your questions here first. It will allow your questions adn my answers (along with other's answers) to be seen by all viewers, not just between you and I.
After, lets talk sometime. Thanks Will
At any rate, your questions was how to get the properties AFTER the sherriff sale. Your profile location says MN and if that is correct, I highly recommend you do not buy from the sherriff's sale there. The redemption period in MN (if I remember correctly) is up to 6 months after the auction, which means if you are the winning bidder, you don't take title to the home until 6 months after that. The current homeowner has that long to bring it current and saty in their home.
In CA, the redemption period is BEFORE the auction only and thus, buying at auction here makes better sense as the winning bidder becomes the owner of record immediately upon the recording (usually the next day- in some counties, same day)
Your other option in MN is to simply wait until the bank has had the property long enough for the redemption period to expire and then find out what RE broker is assigned to that property and make your offer directly to him/her. Essentially, you are working with REO properties at that point.
Another option, as mentioned previously, is to work short sales.
Will, I think the OP wanted information on acquiring the property after the auction without bidding or an REO. I believe this is possible in states where the debtor has a right of redemption after the auction. You may wish to clarify this, but here is my understanding of the situation:
1. Prior to the auction, the debtor may have the right to do various things to prevent the property from going to auction, including paying off the lender, negotiating a loan mod, short sale, etc. I do not think the OP's question is about this.
2. After the foreclosure auction, the winning bidder typically takes the property. But in some states, the debtor continues to have a window of opportunity to buy back the property from a winning bidder. This is referred to as a right of redemption. In states where this right is assignable, anyone could buy the debtor's right of redemption after the foreclosure sale and then buy the property from the winning bidder based on the value set by law. In some states, the value is the amount of the original loan balance + interest and foreclosure costs. In that event, it would not make sense to buy the property because most properties in the current market were underwater prior to foreclosure. But in states where the right of redemption is based on the winning bid price, it would make sense to analyze winning bids and see if there were any that were significantly less than the ARV of the property and then go to the debtor, pay him $100 or so and buy his right of redemption and then pay the winning bidder the amount prescribed by law and then take the property.