Your idea is a good one. I have gotten several deals that way. There is nothing wrong with the brokers passing you a lead. They can not give you to much info, but name and number never hurt. If anyones concerned, just say you got the info from a friend. There are tons of ways to do this. Dont believe everything you read either. The info will be public soon anyways. Also, you could just tell the brokers to ask the people if they are interested in selling. They usually have no choice other than to sit in the house and wait…which many do.
And, they do call mortgage brokers all the time. I used to do mortgages and got calls everyday like the ones you describe. Good luck and dont let the negativity discourage you!
A great source of preforeclosure leads?! - Posted by Herbert Klaus
Posted by Herbert Klaus on September 13, 2003 at 16:30:00:
I was thinking to myself, “what do people who are behind in their payments and close to being foreclosured on do to try to solve their problem?” Among other things, I would think a lot of them call local mortgage brokers and try to refinance. Of course, I assume that many (most?) of them have no job, bad credit, or some other reason they can’t get refinanced, in which case the broker says “sorry we can’t help you, good luck”. So I was thinking, what if I were to contact as many local mortgage brokers as I could find, and set something up where they either refer the people to me, or I just offer to buy the lead (name and contact info etc) from the mortgage broker? It seems like this would send a steady stream of preforclosure deals just waiting to happen my way, with a whole lot less competition because a lot of them will only be 2,3,4 payments behind and the lender hasn’t filed anything yet, in which case I would probably be the only one who knew about the situation. So what do you guys/gals think? Does this sound like a great idea or what? Anyone have any other ideas to work the preforclosure angle, to generate leads before anything is filed? I don’t mind competition but it is always easier when they haven’t already been contacted by 5 or 10 other investors, ya know?
As a former mortgage broker, and current foreclosure investor, I’d have to say that your plan is unworkable unless you have a prior relationship with the mortgage broker. Either you give the agent a broad criteria and will get a lot of dead end leads that will waste your time and you will have to pay for, or you give the agent a narrow criteria and you will get no leads.
Posted by Ed Copp (OH) on September 13, 2003 at 17:12:23:
Often they buy lottery tickets, go to church more often and pray for some sort of “miricle”, and the purchase of a new car that they “could not afford not to buy” takes place. After all they are entitled to something nice when the move to the projects.
Any private information that the mortgage broker has, he can not give to you. The knowledge that he has is exactly that, private.
Now he can give you the stuff that is public record, but then that is already public, and everybody has it.