I am new to all this. Have information over load.
Wholesaling houses that are in pre foreclosure is the way
I would like to go. No money down. I am on a shoe string budget
I live in Beebe Arkansas 72012
If you're not knowledgeable, don't have ready capital and experience, stay away from preforeclosures. These are not the people you should leave hanging, when you make a deal with them and can't follow through.
Thanks for the answer. But how do you get knowledge and
experience if you don't start some place.
Can you find a house put it under contract, and then
pass it on to a investor .
Great theory. Just don't get tagged as a 'foreclosure rescue' operator, because if you don't follow through, the owner may have some legal recourse... at least in many states. The first to '... get knowledge and experience ...' is to read your state laws about what you are trying to do. e.g. google 'Arkansas Code Title 18 - Property Subtitle 4 - Mortgages And Liens'. Find out what the text is for the AK broker's class and read that as well. You will give yourself great knowledge quickly. You may decide to become licensed. They you will get experience quickly... and be on your way.
Wayne Brooks, great encouragement, way to go. Chris Martin, thanks for a better answer, a better man.
What is this "Account Closed" Joe Gore was using that, now this post above, what's up Mods?
Two good posts above of advice, I'll make it 3, stay away from pre-foreclosures until you are more of an advanced operator, there are federal laws playing in those mine fields and it's no place for newbies, regardless of what any guru says. We're talking 6 figure fines and jail for felonies. What you say can hurt you.
Chris hit it on the head there, study state laws and conventional RE requirements first, not strategies or guru stuff.
In and around Beebe, get a good understanding of seller financing, lease-options and subject-to assignments after you get the basics, many of the properties in the area won't qualify in the secondary market, but do become familiar with the USDA programs. Aren't you close to Snowball, always thought that was odd as you don't get that much snow.
Good luck :)
Updated over 3 years ago
Update to Ned, thanks for the explanation. Seems in times past someone used that as a user name and made posts, that went away, then I see it twice again, so now I get it, so long as they don't post after I do in a new thread. So, someone gets their a
@Bill Gulley any time an account is closed the posts remain and regardless of who the original poster was it says account closed.
I have no idea who the closed about above was originally, or why it was closed for one seemingly innocuous post. Private message spam will get someone removed very quickly. Yet it is something that even the moderators are unlikely to see. We have automated filters which catch a lot of stuff.
You you stay away from forclousres. When i satrted i thought that would be a great avenue. Ill tell you this i sent 400 letters, and i probably got a record % in call backs...Proably somewhere around 80 calls, possibly more. Sounds good huh?
However, literally every single call, was someone cussing me out, threating to sue, or telling me to eat dirt...I got a call from 3 lawyers, i got a call from a sheriff, and supposidly report to the attorney general (which as of today nothing happend) But what i learned from this, is people facing forclosure are highly protected and guarded because so many people scammed them during the downturn, so there are laws in place in every state, and they are very strict on what type of mail you send, the wording has to be perfect, and the most important thing is you must make sure your data is current. You cant give any advice, you cant make them beleive your there to help, or give them some type of hope, all you can do is say i want to buy your house. And even thats tricky in some states. Being that your a wholsaler and you dont have the money to buy, you are crossing a boundery that you might not be able to recover from. Alot of these people are tired mosttly frustrated, and have nothing to lose...That one old guy who sits in his recliner seat all day watching Jerry Springer has nothing to do all day, and hes the one that will take you tot he cleaners...Its along the same line as predatory sales tactics.My advice would be to stay away from forclosures completely, unless you have some who is qualified (like a lawyer, or forclosure specialist ect...) to break the ice for you, then bring you in as a wholesaler...But even thats scary...There is tons of different type oof leads to market too...
I want to say thank you for all the information
you all have given me . I would keep away from
wholesaling pre foreclosures for the time being.
I would be looking at starting out with wholesaling.
You must be a BiggerPockets member to post on the forums
Join the world's largest, most open Real Estate Investing Community online, 100% free forever!