How To Buy Your Real Estate Investment Below Real Value With Pre-Foreclosures and Short Sales

Some of the best and most profitable real estate investments are accomplished by buying below real value. There are many ways to obtain a property below value. And, remember: not only are you helping yourself get a good deal, you will also be helping the homeowner out of a difficult situation.
Two of the best situations in which to make this happen are the pre-foreclosure and short sale deals. But to make these deals work, you need to have all your ducks lined up in a row; there are things you have to know before you make an offer.
Whether or not a property will be a good pre-foreclosure or short sale investment will not be immediately apparent when you first look at a property. Something to consider is that you may not have the luxury of an extended timeline as with an outright sale.
Many times the homeowner is already behind in payments and the mortgage lender has already begun foreclosure proceedings. This means you will usually be on a tight deadline. It's very important that you keep your timeline in mind when preparing an offer.
Certain things like title checks and inspections must be done. You must estimate the costs of any repairs that need to be done and determine whether the property will still be beneficial for you to own or "flip" after repairs and remodeling. You'll need to get a Comparative Market Analysis and determine the Capitalization Rate, to assess net rental income, if you're planning to rent the property. Depending on how far along the foreclosure process is, you may not have enough time to get everything done and help the homeowner before the bank forecloses.
Still, there hasn't been a better time in history to work with pre-foreclosures and short sales. Foreclosures are at an all time high. Mortgage lenders are desperate to reduce their inventory of real estate. Lenders are in the business of loaning money. They do not wish to be owners of real estate. They'll leave that to you.
Becoming a successful real estate investor will take many hours of your time, but remember: Investing in real estate has created great fortunes and successful retirements for many men and women.
And now, I'd like to invite you to find all the step-by-step details about how to evaluate potential pre-foreclosure and short sale properties, make the necessary calculations, and prepare required documents in "Real Estate Investing."
Claim your copy today at http://CarlylePublishing.com and get instant access to everything you need to become a successful real estate investor.
I'm Henry Behrens, real estate investor and author of "Real Estate Investing."
Article Source: http://EzineArticles.com/?expert=Henry_W._Behrens

Researching Foreclosure Homes For Sale

You must do your due diligence in plenty of research on foreclosure homes for sale before you go out and secure a loan and make a purchase. Research will ensure that you make a good decision and you do not purchase something that you will regret later.
Investors need to research foreclosure homes for sale because they need to make an investment. They need to be sure the home doesn't require thousands of dollars of repairs that will cause the investment to be much higher than market value and be impossible to sell the home at a price that would make a profit. When an investor doesn't do the proper research they often make mistakes because the home needs to much work or even work that is not approved by the local planning and zoning commission. Not only would you be stuck with a lemon but you wouldn't be able to flip it for any profit at all.
New homeowners much research foreclosure homes for sale because they need to be sure they are getting a good deal. The best way to research homes is to compare the local area home sales with the sale's price of the home you are looking at. Compare homes that are currently up for sale in the same area also. The goal is to find a home with a much lower price. This will ensure the price is a good deal. Things you need to compare include number of bedrooms, square footage, etc.
Homeowners also have to research foreclosure homes for sale because they are going to be living in them. It would be a travesty to purchase a foreclosure that is termite infested and needs to be entirely demolished because the termites have completely destroyed the structure of the home. You would still be responsible for the loan on the home and possibly homeless too.
Researching foreclosure homes for sale is a must. Don't act on the first notice in the public notices of a home that is in default. It is very common for homeowners to be late on a payment or two and this notification to go in the paper. You don't want to act on buying a home that is not really in foreclosure. Wait for the date of the auction to be set or wait for the home to not sell at the auction. Always research the condition of the house and if you can be sure to have an inspection done on the home by professionals that will give you a fair value and tell you about all of the repairs that need to be done.
Search foreclosure homes by state or get more information on foreclosure homes for sale at ForeclosureRepos.com
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Kevin Simpson, GM Sales & Marketing
Article Source: http://EzineArticles.com/?expert=Kevin_Simpson

Foreclosed Properties-How Do You Get One To Buy?

Buying a foreclosed property now: This is absolutely the right time to buy a foreclosed property at a cheaper rate with a flexible repayment plan. The economy situation in the country might be discouraging yet many are investing more in real estate. This is because of the favorable mortgage policy initiated by the government. As well as the stimulus funding put into that sector.
It is not only these advantages but that you will have multiple choices at this period.
What are foreclosed properties? Foreclosed properties are legally ceased properties. This can be for various reasons like mortgage loan default, ESI tax default, real estate tax default, and property abandonment. Lenders wanting to sell foreclosed properties under government tax lien must do so reporting to appropriate authority.
Bankruptcy/liquidation: This is an arduous period for businesses all over the country due to economy crunch. Many businesses are presently selling their properties to regain balance financially. Many are also filing for bankruptcy. Hence there are many foreclosed properties for interested buyers. So if you want to invest in foreclosed properties, this might just be the right time. However to know how to go about it is the crucial, reading this article would help you. You can take these few steps.
Get information: getting information is the first step to buying foreclosed property. You need to know where to search for foreclosed homes. You can get such information from newspaper and magazines' adverts. You can also pay a visit to FHA or the department of housing and urban development. Follow any credible information.
State Rules: Take advantage of the state rules to buy your foreclosed property. So check out the various rules concerning foreclosure proceeding in your state. This information might just be the reason why you bought it cheaper than you expected.
Inspection: You don't have to be an expert to do this, if you are not good in it, employ an expert to cost the maintenance expenses in the house and do proper evaluation to see if the prices are reasonable.
This is to prevent incurring extra maintenance expenses after you've purchased the house.
Use a consultant: You might need to use the help of a consultant to find a good foreclosed property you need. Make sure that the property you choose is not placed under any lien at all.
You need to note: That the best foreclosed property you can buy can be got from the banks. They are cheaper and safe to buy, because you know you won't be under lien and that the property is debt free. This is because the banks would have settle every creditor to give the home a clean title.
Another thing you should note is buying a foreclosed property requires you to have enough money or a good financing on it, so that you may not end up losing it.
If you are thinking of buying a home we will be privileged to introduce Marocopa Homes forSale also check our new prices for homes at AZ Real Estate Blogger
Article Source: http://EzineArticles.com/?expert=Lizzy_Alicia_James

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