Working with Pre-Foreclosures Before the Auction

Would you rather wait in line or beat your competition to investing in a foreclosure?  Pre-foreclosures are properties that have missed several payments and are facing foreclosure but everything is pending.  I’m sure you’ve seen those signs on the side of the road – “We Buy Homes For Cash” or “We’ll Buy Your Home Any Condition.” Those signs are from investors looking for those homeowners who’ve missed some payments and those suffering from stress not knowing what to do.

So how do you find pre-foreclosed homes?  The courthouse.  When homeowners become delinquent on their mortgage payments the lender must send a notice of default.  These notices must be filed at the courthouse and their all public record.

Homeowners who have received a “notice of default” are in deep trouble.  They are about to lose their home along with any equity they hold.

If you choose to market and advertise your services you’ll definitely need a team to start your venture.  A real estate agent will be your most valuable asset in targeting properties for investments.

Direct Mailings: you’ll need a database of names and addresses assembled to start contacting those homeowners facing foreclosure.

Marketing: what’s your message?  Come on too strong and your mailings will get tossed; miss the message and your mailings will still get tossed.  You need to let them know you’re there to help relieve the burden and give them a second chance.