All Forum Posts by: Miguel Arrieta

Hello everyone!

This idea came to mind the other day but I don't know if it's possible. Please criticize anything, I want to understand and learn. 

So I was on zillow a while ago and I saw about pre-foreclosure but didn't think too much of it, I only understood that it means that they're behind on their payments and obviously I am educating myself more and more. 

I'm thinking of getting in contact with these people, assess the financials of the home and doing this: 

Not only bringing the mortgage payments current, but fixing the home and selling it for a profit to both the owner and myself. (assuming all of this is possible)

This would do a couple things:

-Bring the person's mortgage current.

-Give the person a payout (still figuring out percentages) so they can have something to get back on their feet and avoid further financial ruin. 

-Some profit for myself

I live in the Salt Lake area and houses have been appraising in value, so I'm thinking this would play strongly in the sale of a fixed home; especially if the owner purchased the home a few years ago when homes were cheaper. 

I'm 100% aware there would be some legalities that I would have to consult with a RE attorney, which I plan on consulting after getting everyone's insight from here. I'd probably have to create some sort of contract with the owner that puts me in charge to get things done for them or something like that. 

I am also thinking of a possible exit strategy in the instance that a deal like this would fail or anything similar like that.

What do you guys think?

Thank you,

Miguel