Pre-foreclosure
Hey folks,
A phone call today has landed me with the opportunity to recieve info on properties that are in pre-foreclosure from a bank in my area. I am not sure how to handle dealing with home owners and I am also wondering what type of financing can be used handle this type of project. Any help from the experienced out there.
Hello bal28,
Sounds like you came into a great source. The first thing you want to do is determine how you want to handle these. Do you want to hold and rent,LO or sell outright (Wholesale). Once you determine that, you can figure out how you want to finance/sell them.
Let me know how you plan to do this and maybe I can help you with some better answers. Hope this helps. Good luck!
Quote:
On 2003-12-30 09:57, bal28 wrote:
Hey folks,
A phone call today has landed me with the opportunity to recieve info on properties that are in pre-foreclosure from a bank in my area. I am not sure how to handle dealing with home owners and I am also wondering what type of financing can be used handle this type of project. Any help from the experienced out there.
I want to aquire, rehab and sell for quick profit. Can you use the same financing that you use on other rehab projects?
I like to take 'em slow and steady...analyze, assess and select the one(s) you want to engage...the market just seems to bring them when it's time...the law of universal karma...with experience you will know very routinely which deals work for your financial style, temperment...try lots of ideas, never rule out an offer without real consideration...those deals that come by can surprise...like Warren Buffet says, "we wait for fast balls-down the middle and let all the curves and change-ups go by"...pretty basic stuff from the sage (as usual).
Unless this 'information' has been made public, sounds like you may have an illegal access to 'insider' information.
Mortgage loan servicers are not permitted to discuss delinquent accounts with anyone who hasn't been duly authorized by the mortgagor.
If a collection rep is tipping you off....providing leads, and sharing confidential information, he/she may soon be looking for another job.[ Edited by TheShortSalePro on Date 12/30/2003 ]
Depending on you situation, there are several ways to go.
If you are cash heavy, then financing is really not needed,
If you have good credit, then you have Private lenders as well as conventional funding available. In many cases, the forclosing bank will carry 80% of your cost.
If you credit is not as pretty, then you have available through this site as well as others, the private and hard money lenders.
You situation will give you an idea of what types of lending is at your exposures.
I was wondering how you established this relationship with this bank.
Did you send out letters or is it a friend of yours. Thanks
Todd
I would just be careful this new found fountain of information doesn't land you in jail. Doesn't sound right, but only you know exactly what kind of source you mean. Just be c a r e f u l !!
I doubt that you really have "secret informantion" that is not available to everyone else in the area who subscribes or data-mines preforeclosure information at the courthouse. This would be a violation of the Fair Credit Reporting Act's privacy issue.