Foreclosures: Real Estate Investing The Smart Way
If you had been watching the real estate foreclosure investing market closely during the massive housing boom of 2000-2005, you could have seen the current foreclosure crisis coming; and with it, the many foreclosure investment opportunities which have proliferated nationwide.
There have been many foreclosures and most of the sub-prime lenders are now out of business. There are many opportunities here for the real estate investors who can keep ahead of their competition.
Will You Be Able To Capitalize On This Foreclosure Boom? On the surface it seems easy enough. Get a list of properties in default. Contact homeowners. And get the deal done at a juicy discount, before the bank takes the house. Then you can fix it up and flip it, or keep it as a rental with an instant built-in equity profit. Right? Well, not quite.
Getting into the foreclosure investing game could be an extremely lucrative move that alone could not only feed your family but pay for lavish lifestyle and vacations. Or it could turn into a big black hole consuming all of your time, energy and marketing dollars.
In fact, there are only a relatively small number of investors who have managed to make their foreclosure investing profitable on a consistent basis. Many investors make the mistake of not trying hard enough to set themselves apart from others in this very competitive market.
How Can You Stand Out in the Competitive Business of Foreclosure Investing? To call foreclosure investment a competitive field is understating things. A lot of news stories have come out about these investments, meaning that many investors have gotten in on the action. Investors send mountains of mail, deluge homeowners with phone calls and some even go so far as to show up at their doors.
In short, if a homeowner is behind on payments, you can be prepared for a major fight for his attention. Just imagine for a moment that person sitting at his kitchen table plowing through a pile of letters from lawyers, bill collectors and investors. Your mailing piece is just one of many that goes straight to the garbage can. You must find a way to differentiate yourself from the investment crowds. Here's an idea that will put you ahead of the competition.
The Only Ethical Way To Approach Foreclosure Investing. Truth be told, for most people who are behind on mortgage payments and in danger of losing their home - talking to a real estate investor about selling the home is the very last thing on their mind. They often perceive foreclosure investors as sharks taking advantage of their situation.
So, if you want your phone to ring with people in foreclosure, contact them with an offer to keep the home.
Move For Advantage In Foreclosure Investing - Giving Homeowners the Option to Stay in Their Homes Instead of Buying It. For starters, giving homeowners a chance to stay in their homes is the ethical thing to do, plain and simple.
Also by going about things this way, you can also make a profit. You should offer to help the homeowner negotiate a payment plan via their lenders loss mitigation department. Of course, you can charge a fee for this service as well. There are a lot of opportunities to offer this service currently, since so many homeowners are looking at foreclosure. You can get a list of contacts in the loss mitigation departments of mortgage lenders all over the country.
Lastly, this is the most profitable foreclosure investing approach. In many cases you will end up buying the home. Remember, the loss mitigation process will only work for those owners who got behind, but now recovered their ability to pay. Most won't qualify for a repayment plan because they can't prove their hardship is behind them. And they won't know it until you, the foreclosure investor, helped them to pencil their income and expenses on paper and submit it to their lender. Now they have undeniable proof they can't keep it and youre right back to your original foreclosure investing game plan. Once the reality settles in, they'll start talking sale. Who will they sell to? You, of course, the foreclosure investing pro. You have now earned their trust and it's the only next natural step to take.
There have been many foreclosures and most of the sub-prime lenders are now out of business. There are many opportunities here for the real estate investors who can keep ahead of their competition.
Will You Be Able To Capitalize On This Foreclosure Boom? On the surface it seems easy enough. Get a list of properties in default. Contact homeowners. And get the deal done at a juicy discount, before the bank takes the house. Then you can fix it up and flip it, or keep it as a rental with an instant built-in equity profit. Right? Well, not quite.
Getting into the foreclosure investing game could be an extremely lucrative move that alone could not only feed your family but pay for lavish lifestyle and vacations. Or it could turn into a big black hole consuming all of your time, energy and marketing dollars.
In fact, there are only a relatively small number of investors who have managed to make their foreclosure investing profitable on a consistent basis. Many investors make the mistake of not trying hard enough to set themselves apart from others in this very competitive market.
How Can You Stand Out in the Competitive Business of Foreclosure Investing? To call foreclosure investment a competitive field is understating things. A lot of news stories have come out about these investments, meaning that many investors have gotten in on the action. Investors send mountains of mail, deluge homeowners with phone calls and some even go so far as to show up at their doors.
In short, if a homeowner is behind on payments, you can be prepared for a major fight for his attention. Just imagine for a moment that person sitting at his kitchen table plowing through a pile of letters from lawyers, bill collectors and investors. Your mailing piece is just one of many that goes straight to the garbage can. You must find a way to differentiate yourself from the investment crowds. Here's an idea that will put you ahead of the competition.
The Only Ethical Way To Approach Foreclosure Investing. Truth be told, for most people who are behind on mortgage payments and in danger of losing their home - talking to a real estate investor about selling the home is the very last thing on their mind. They often perceive foreclosure investors as sharks taking advantage of their situation.
So, if you want your phone to ring with people in foreclosure, contact them with an offer to keep the home.
Move For Advantage In Foreclosure Investing - Giving Homeowners the Option to Stay in Their Homes Instead of Buying It. For starters, giving homeowners a chance to stay in their homes is the ethical thing to do, plain and simple.
Also by going about things this way, you can also make a profit. You should offer to help the homeowner negotiate a payment plan via their lenders loss mitigation department. Of course, you can charge a fee for this service as well. There are a lot of opportunities to offer this service currently, since so many homeowners are looking at foreclosure. You can get a list of contacts in the loss mitigation departments of mortgage lenders all over the country.
Lastly, this is the most profitable foreclosure investing approach. In many cases you will end up buying the home. Remember, the loss mitigation process will only work for those owners who got behind, but now recovered their ability to pay. Most won't qualify for a repayment plan because they can't prove their hardship is behind them. And they won't know it until you, the foreclosure investor, helped them to pencil their income and expenses on paper and submit it to their lender. Now they have undeniable proof they can't keep it and youre right back to your original foreclosure investing game plan. Once the reality settles in, they'll start talking sale. Who will they sell to? You, of course, the foreclosure investing pro. You have now earned their trust and it's the only next natural step to take.
About the Author:
Imagine having preforeclosure owners literally eat out of your hand. This foreclosure investing strategy will help you get there.
posted by Credit Counseling at
7:47 AM
0 Comments:
Post a Comment
Subscribe to Post Comments [Atom]
<< Home