Wholesale pre foreclosure

8 Replies

@Akeam Baron The same way you wholesale any other deal other than you need to get it closed before it goes to auction. 

Keep in mind some states have law to "Protect" those in foreclosure from investors. MD is one  such state.

@Akeam Baron Maryland's law is named Protection of Homeowners in Foreclosure act.  (PHIFA) searching something like that on google may help. MD was one of the first about a decade ago and other states started copying it.

Be careful about trying to wholesale homes in pre foreclosure. Many are short sales and you can't assign contracts via short sales. If the homeowner has equity it's an even more sensitive situation IMO.

Originally posted by @Brett Goldsmith :

Be careful about trying to wholesale homes in pre foreclosure. Many are short sales and you can't assign contracts via short sales. If the homeowner has equity it's an even more sensitive situation IMO.

Are Pre-Foreclosures considered bank-owned? Also, why should I be worried if they have equity?

A home is either not in foreclosure, in foreclosure, or foreclosed on. If the home is foreclosed on and if no one buys it at auction than it will be purchased back as a REO or a bank owned home.