Buying Pre-foreclosures for Fun & Profit
The question is really "what's your exit strategy". What do you plan on doing with the properties? I've done these for 30 years. Who the lender is, the type of loan, the history of the loan, the sellers and your exit strategy, all play major roles in how you buy the property.
I recently bought a probate in foreclosure (that's a tough combination) and made about $60,000 with minimal capital involved and the family was very happy. It's worth learning how to do them, but it takes some money, you have to be committed to learning & know the processes and have a reason for buying them.
Random investors don't really know how to buy these. It needs to be a specialist or be taught (in my opinion). Or you'll be wasting a lot of time getting a "legal" (law based) education that you didn't plan on. It's a regulated market in most areas. It's also a mixture of banking, law, timing, human emotion and strategy.
Buying pre-foreclosures is a powerful tool, but to be successful at it, there are things to be taught along the way. I'd be happy to address the questions that naturally come up.
