Help with Foreclosure Deal!!! - Posted by Rebecca

Posted by IB (NJ) on March 15, 2006 at 12:56:29:

Hi Rebecca. It sounds like you need to do ALOT of studying before you approach folks in preforeclosure. These people are on their last leg and about to lose their most prized possession, their home. You need to be informed about the foreclosure procedure in your state AND your county. You need to be aware of the homeowner’s options. You need to have the money to be able to purchase this property within the next 7-10 days. You don’t sound like you can do either of these and may end up causing the homeowner more harm than good.

First get with an attorney who’s familiar with not just real estate, but FORECLOSURES as well. Visit the sheriff’s office of the county in which the property is located and find out if the owner is afforded any postponements. Also find out if there is an redemption period (if you don’t know what a redemption period is then you really have a lot of reading to do and I would NOT advise you to pursue this deal any further). Contact a hard money lender and find out what their terms and turn-around time is on loans. Then contact title companies until you find one that can close in 5 days (your lawyer should have one). You need to have all this lined up BEFORE you approach the owners. Then forget about sending letters. KNOCK ON THEIR DOOR AND INTRODUCE YOURSELF. Be ready for a lot of questions and make sure you have the answers.

And read, read, READ all you can here on this site on foreclosures and preforeclosures.

Good luck.

Help with Foreclosure Deal!!! - Posted by Rebecca

Posted by Rebecca on March 14, 2006 at 20:41:26:


I am looking at a foreclosure deal. It goes up for public bidding on March 28. The public documents I found say that there is a balance of 137,000 owed. I called the lawyer of the mortgage company, and the mortgage company and they both told me I could only go through the owner at this time.

So I sent a letter to the owner… I really want the house because a house similar to it is selling for $350,000.00

Anyway, I have not heard from the owner, and I am not sure what the next step is… Do I go to the house and introduce myself?

I am confused… at this point in the game do I tell her that if she sells to me she will prevent something like Foreclosure coming on her credit report and that is why she should sell to me?

Also, does she sell to me for exactly what the court documents say? Do I give her a down payment? I am so confused!

I want to buy this home before it goes to foreclosure because I don’t have all the cash to buy it at the court.

Please help!! This would be my first home for my family and myself and our first attempt at investing and having a better future!!!