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    5 Replies Latest reply on Dec 29, 2008 10:02 AM by LucyLou

    Need help in the world of foreclosed homes and real estate

    MistroMillion Newbie
      Hey guys. This post is open to all suggestions. I'm a young 24 year old guy attempting to break into the world of real estate for myself. I've been serving an apprenticeship down in the city of Philadelphia with a small time real estate company. My mentour has been perfect for my youngself due to the fact that he's taught me all fronts to the real estate industry in a big city atmosphere. Now that i've gained experience I've returned home to the suburban area and wish to start my own company with my father. My major problem obtaining cheap, foreclosed properties. As of today, I attended my 2nd local auction with cash in hand and 4 properties well research but came up empty handed. Most of these properties were continued to a further date or stayed. Once I left the auction I was very frustrated and decided to go home and just start "cold calling" the attoney's on the write. I was told time and time again to contact the homeowners to negotiate a short sale. Does anyone know the best approach for obtaining these properties? What should I say to an individual who's about to have their home foreclosed on and be put out on the street? I realize that this is a sensitive subject matter so I figured I should do my research in this area, as i've done for all other areas of this industry before making any moves. Please help

      Thanks
        • Re: Need help in the world of foreclosed homes and real estate
          LUCKIEST Guide
          Need help in the world of foreclosed homes and real estate

          Suggestion. Get yourself a Good Lawyer and a Good Accountant.

          Also you could call the Real Estate Comany in Phila and ask them the same question.

          Good luck, LUCKIEST
          1 of 1 people found this helpful
          • Re: Need help in the world of foreclosed homes and real estate
            MistroMillion Newbie
            thanks for the advice pertaining to the lawyer and accountant. i will most cetainly look into both. thanks luckiest
            • Re: Need help in the world of foreclosed homes and real estate
              WarrenD Adventurer
              Hello Mistro, here's a couple of things that might help. First there is a websight called Realty Trac, they can help you find foreclosures in your area, do title searches, gives you names, and addresses of owners and there attorneys, and they have pre-printed letters introducing yourself to these individuals, and your intentions. This website does have a monthly fee, but it could be worth it for you. I know you probably heard this before probably, but when you talked to these lawyers here's a thought send them a thank you letter and a business card, maybe somewhere down the line he might send you some business. Here's another website Rehablist.com, it's free and they have a little course they will send you that might help. I should say I have nothing to do with any with the websites, I just use them from time to time. Hope this helps and Good Luck Warren
              • Re: Need help in the world of foreclosed homes and real estate
                LucyLou Newbie

                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!