My New Blog

Need help in financing a foreclosed property… contact me today and let me be of service to you.

Below is some information on buying foreclosure property.

1. Don’t argue with the homeowner. Time is on your side.
2. Stay in contact. Let the homeowner see that you are interested in his or her welfare. Discuss alternatives with the debtor: foreclosure, bankruptcy, refinancing, sale, rent with option to buy back.
3. Ask questions. Estimate your costs to cure the loan and make repairs.
4. Don’t believe everything the homeowners tell you. They may say the delinquent payments have been brought current when they really haven’t
5. Warn the seller not to sign an “Exclusive Right to Sell” agreement with a real estate broker. This will jeopardize their position to deal freely with you, or anyone else, especially as the foreclosure deadline draws near. If they insist on listing the property with a real estate agent, ask them to include a release clause so you can buy the property directly without paying a commission.
6. Appraise the home “out loud.” Walk around the house, saying, “Lets see, we’ll have to paint this room. Redo the tile in here. Wallpaper the kitchen.” Don’t address the homeowner directly as this will cause conflict.
7. When the owner doesn’t want to deal, move onto the next foreclosure. If this home is not for sale today, it will be within one year. Eighty to ninety percent of them are.
8. Let the owner know that you are working with limited capital, and you only purchase one home at a time. So time is of the essence for both of you.
9. Remind the homeowner that if their home goes into foreclosure they will ruin their credit rating. It will hinder any future purchases on a time payment plan.
10. Get the signatures of all owners (e.g., both the husband’s and wife’s) on the equity purchase form when buying a house in foreclosure. Make sure you have the signatures of any party you even suspect of having interest in the property. Consider using getting the owners to sign a quitclaim deed as an alternative approach.
11. Remind the homeowner that each day they wait they are getting further behind on the payments. Late charges are accumulating which can create a situation in which you—or anybody else—will have a more difficult time taking over the property and saving the homeowner’s credit. The property taxes are also accumulating.
12. Don’t overbuy into a neighborhood where you would own the most expensive home. Always try for the worst house in a good neighborhood.

Hope this information can be of service to you…if you’d like additional information please contact me via email at NBonilla1@aol.com or at 407-583-4872 Ext. #1 to discuss further.