Posted by Glenn OH on January 23, 2000 at 23:43:57:
What is the realtor bringing to these deals? What paper work is she handling? She is not a lawyer, she does not do title work, she probably doesn’t check for liens, etc. So what does she really do to earn her 6-7% on these? Find out how to do the research yourself. Get yourself a contract to use. Find a title company to do the title work and provide title insurance. Work with your lawyer on these. Save yourself 6-7% (if you really want to give it away, give it to the folks with the financial troubles).
Posted by d.moren on January 23, 2000 at 08:58:12:
I am curious. Reading the foreclosure notices in the paper, I was surprised at how many there are in these “good times”, in our (Co.) “strong market”. Some of these homes have market values of over 130k and loan balances of around 90k.
Are there any problems involved with me marketing myself to these types of people in order to help them avoid foreclosure (assuming their loan, L/O, etc.)? If they’re going to lose their home wouldn’t it be better to get something out of it and not ruin their credit in the process?
Can I run an add in the paper?
My main concern, at this point, is that I don’t step on any “snakes”, legal or otherwise in the process! I would appreciate any info anyone would have or maybe steer me in the right direction on finding the info.
Thanks mucho, d.
Before you go wasting a bunch of time tracking people down, you should stop off at the register of deeds and check the title. You may spend lots of time tracking people down only to find out there is a second for 12k. It seems lately, 1 of 2 I am tracking has a second. And lately, I have had a hard time getting a discount or discharge on the seconds.
Certainly there is no problem with focusing on foreclosures. I’m sure you’ll find that there are already a number of folks in your area involved in that business.
Before you do, understand that effective foreclosure investing at the level where you’re interacting with the owner takes considerable knowledge. There are lots of land mines to avoid. State law varies as well, so a technique that works in one area may be ineffective or a problem in another.
Joe Kaiser writes an excellent course involving the search and marketing for foreclosures. However, you’re going to need to familiarize yourself with the law in your area. Can’t help you there…but maybe start at the library.
Hmmm,
I was suprised to see you say that you are having a problem getting the seconds to discount-
I was even more surprised to read:
“You may spend lots of time tracking people down only to find out there is a second for 12k. It seems lately, 1 of 2 I am tracking has a second”
as if this was a BAD thing!
Funny how this ganme is- I specifically look for properties that have seconds, thirds, fourths or whatever as that represents the highest profit potential for me- each time, everytime.
I would like to hear how you are approaching the seconds such that you have not had much success with them lately.
Posted by d.moren on January 23, 2000 at 21:15:12:
After reading your response I called the RE agent I used on my last two HUD buys today and it turns out that she contacts everyone she can from the foreclosure list!
She’s thinks her biggest problem in talking with these people is thier attitude towards realtors… She suggested that we work together on a few, her taking care of the paper work and me doing the contacts.
Sounds interesting and definatley worth a shot. thanks again, dm