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Re: Need help in the world of foreclosed homes and real estate Dec 29, 2008 10:02 AM
In regards to RealtyTrac, they pull their info from county court houses. They post the listings on their website as though they are their own listings and are actively for sale. When you express interest in seeing one of the properties, they sell your contact info to Realtors who can't show you the property until the property has completed the foreclosure process and is listed with an agency with the seller being the bank.
I know this because I am a Realtor, own a real estate firm and work with banks to evaluate what the pre-foreclosed properties are worth by providing broker price opinions for a fee. I have clients call me about houses that they have seen on RealtyTrac and have waisted their time driving by the property.
My suggestion in regards to contacting owners of properties that are in a pre-foreclosure status is to obtain the property owner's names and address at your local court house for free. They are usually posted on a wall as part of public notice. Keep in mind, that many websites may tell you an amount that the loan for that property is for, but it is often not correct due to additional mortgages that may be in place. You WILL be seen by the property owner as a vulture...no matter how it is approached. So, you need to decide if obtaining the property prior to foreclosure is suited to your personality. It doesn't sound like it is.
If you are concerned with profit lost by paying comm., then get your RE License. They offer fast track classes where you can get licensed in a month. Then, hit the government websites where the foreclosed properties are listed for FREE and the comm. are usually 5% and bid for yourself. Most of your mainstream real estate firms shy away from training their agents how to do bank foreclosures so you may have more luck registering a real estate company for yourself and not paying any firm fees and do your research. (which it sounds like you are good at) Just check to see if you are a brick and mortar state. If you aren't required to have an office, then it would be your best route.
With all of the attention given to the real estate/foreclosed homes market, you have to be careful of people who are using it to make money for info that is available free. Google your state in conjunction with words like HUD, VA, Fannie Mae, Freddie Mac, REO properties and you should see an official site. There will be no charge for getting an agent's name that is registered to sale the properties. If you choose not to get a RE License, then you will have an agents name who knows how to get you in the properties without paying any fees.
Best of Luck!
