Preying on the down and out how do I do it?

Question

How do I find people who have 'spread themselves to thin' so to speak (property wise) and are now in trouble and need to liquidate assets quickly. Say for example and over zealous investor or someone who thought themselves a big shot, but skipped out on basic due diligence, market research, and investors basics before pulling the trigger on 'that property'.

Rob Gillespie · Answer

I would begin by saying never take advantage of anyone for any reason.
You can create a win- win situation by offering cash when someone needs it the most. I believe just to treat everyone how you would want to be treated. :mrgreen:

Omarwali Jones · Answer

I'm not trying to hide the predatory nature, but I'm not trying to focus on it either, nor do I think its cool. It just so happens to be the nature of the beast....sometimes. There's nothing wrong with doing 'bargain' deals with over extended people. Reality is they made a misstep somewhere along the line and need to sale. Now being an asshole about it when you actually get the deal.... well that's a different story.

Eric M. · Answer

I agree with Rob.  Your original post takes on the tone of wanting to take advantage of someone's misfortune rather than more generally taking advantage of opportunities in the market.
You should be looking for properties that are a bargain (there are plenty) rather than looking for overextended people who you can fleece.  By searching for one, you will find the other, but in a less predatory way.

Omarwali Jones · Answer

^^ Not a bad idea. I'm willing to bet though most of the investors in my area all get there money from the same 'godfather' who would probably tell another nephew or lackey about their cousin's mistake investment but not me.

Ibrahim Hughes · Answer

Reach out to hard money lenders in your area and see if they have anything for sale OR if they can put you in contact with the investor they are currently foreclosing on.

Omarwali Jones · Answer

Never herd of homepath.com I'll take a look, I have access to MLS as well. Usually though the good stuff that appears on these websites is gone within the minute. I'm looking for more back door methods so to speak.

Don Hines · Answer

Look at homepath.com to search Fannie Mae houses in you area. It just takes some time to be able to spot an REO from the MLS. I search Realtor.com plus my agent sends me freshly listed REO's
Don

Omarwali Jones · Answer

Sorry for the late response. For whatever reason, firefox was acting ridiculous for longer than I would have liked. What's an FNMA? How'd you find the REO's? How'd you find the first property you mentioned?

Don Hines · Answer

These properties are out there. I just looked at a FNMA where it appears the previous owner picked it up in 2003. The rehab he started just dosen't make sense. I think he bought it around 160k and the ARV is around 280k. It might be a nice house with another 100k invested on top of the 108k asking price. I have looked at a few REO's recently that were lost by investors.
Don

Preying on the down and out how do I do it?

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