Help with buying a Pre-foreclosure?
Question:
Please help
Answer:
GET A REAL ESTATE AGENT !
YOU'RE GONNA NEED HELP WITH ALL THE LEGAL DOCUMENTS !
If it was that easy everybody would be doing it. If it is in pre-foreclosure your best bet would be to contact the owner and see if you can work out a deal to purchase the house from them. If yes you will need to hire a good attorney to write up a contract and get the deal and secure financing. That will be the hard part. If you are not successful with the owner you will have to follow the property to auction. If it doesn't sell there the bank will list with an agent and sell it.
I agree with Tiana's answer.
You don't need a real estate agent, just contact the owner but it is not easy as it sounds. I've sent out tons of letters over the months and made calls to owners, most are not going to be willing to sell and the ones that are owe more then the house is worth. If they are not willing to make a deal with you before the auction, the only thing you can do is go to auction (if it really happens) and see if you can bid there.
MOST IMPORTANT - DO YOUR RESEARCH! If the judgement is on a second mortgage you will be stuck with the first mortgage.
I'd suggest starting to go to auctions and observe, talk to people. you can learn a lot that way.
No, they are right it isn't that easy. Do you just know of the location of the house or have you acquired data to all the information? Some online services can provide you with this information (foreclosure.com). Once you have found out who the owner is then write them a formal proposal/offer. Leave it in the mailbox or send it. Do not bypass them and go directly to the bank- they have not yet foreclosed and that would be insulting. Talk to them first. See if they plan on recouping and keeping the house.
Once you have found it out directly from the horse’s mouth then go to the bank and ask what your options are. Sometimes they will finance it directly- resulting in a lower purchase price- however this may occur after the auction.
Do your research outside of yahoo.answers
Well, the problem I have run into with people under preforeclosure is they are in denial..They don't want to even talk with you.
I don't deal with home owners, I go directly to the auctions and buy the homes there, but you will need cash in order to do that..You can't deal with the bank, you can only deal with the owners.If you pay the back payments, and take over payments, most, if not all mortgages are NOT assumable, so that would not be a legal document, unless the bank ok'd it.
Your best bet, would be to get your financing in order, and buy the house from the owners in default.Best of luck
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