Auction Vs. Pre-forclosure
Is it better to buy at auction or to approach a home owner in distress? And how do I find these good properties, I have tryed looking through the mls listings for homes that may be a good investment but most of them are rat holes in bad neighborhoods. I am slowly making my way through the nuts and bolts of REI so any info would help no matter how small the details that are given.
Here are my .02 cents.
Looking on the MLS is not a good way to go, IMHO, to start of with. Its a great resource for comps and other info, but to get the initial list of properties, I would recommend other sources.
As far as REOs, just to Hud's website for their listings, OCWEN's for VA stuff, or directly to bank's website for their REOs.
I would recommend getting a list of pre-foreclosures - that will give you both the auction time and place, as well as distressed home owners. I get my list from a title rep. You can also get it online from different sources, or from your county courthouse.
Good luck, hope this helps.
You will usually get better deals dealing with distressed homeowners. An auction can sometimes get out of hand if there are a lot of bidders.
I'm curious...how much do you charge for "saving" a homeowner's home?
Yea that would be nice to know, what do you charge for your services? and how do you deal with the bank to get the home owners out of foreclosure?
Thanks a lot,
James
you have more control of the deal approching the owner, if they are willing and know that they have to "do something " before f/c. you can get "good deals" at auction but you have to be careful and know what makes it a good deal for you and stick to it. don't get caught up in the "fever". watch for "ringers" people that have a interest in the prop. they will intentionaly "run" up the price. remember the last bid is the one that wins i always wait till the auctioneer says "going twice" before i bid that way the "ringers" aren't as likely to hussle me they know if they do i can and will step away from the bidding because i had a set price i will pay going in and i stick to it........ggod luck......kenmax