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Investing in Pre-Foreclosures |
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Investing in Pre-Foreclosures |
Would you buy a house for $150,000 if you could buy the house next door in the same condition for $100,000? If you are a smart investor, I'm going to bet you wouldn't. If you are just beginning as an investor and need information, how are you going to get it and how much are you going to pay? THE SAME CONCEPT APPLIES! You can easily get a basic understanding of the stages of foreclosure, how to purchase property at each stage of the process and ways to obtain financing for your purchase for free or at a very nominal cost. Libraries, bookstores and many websites all offer free or low cost information. Obtain the basic information, read it once, then continue reading it until you KNOW all the material. Your success is not going to be handed to you, you have to become an authority on the investment approach you choose. The confidence and knowledge you will obtain are essential keys to success. No seminar or course costing hundreds or thousands of dollars will put the confidence and knowledge in your mind, YOU have to make the decision and effort to get it there. THERE ARE NO SHORTCUTS!
Seminars Books and Courses Cash Investors Personal Counselors Recommendations
An easy way to spend a lot of money. The personal motivation inspired by the
speaker will always last long enough to provide you time to buy the books or
courses. If you are truly motivated to become an investor, you don't need a
seminar. On a positive note, if you are an active investor and have already bought a
course to increase your knowledge, a seminar is one way to allow the author or presenter
to expand on their printed material.
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Available at Libraries, Bookstores and Websites. Balance the cost against the
information presented. You can't really argue the benefits of a twenty dollar book
against a seventy dollar book, both undoubtedly have good points and bad points. Try
to find the most appropriate information for your situation at a reasonable price.
Courses costing hundreds of dollars or more should not be purchased by a new
investor. When you have the basics down solid and want additional information or
specialized information, then consider additional courses. Remember, your success
will not be determined by the size of your library, but by your motivation and knowledge.
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Take our course, we'll back you up financially! Great sales pitch and I'm sure it
would happen if the property could be purchased cheap enough, but anyone can find a cash
investor. The hardest part is finding the property. You don't know any cash
investors? Look in your local Yellow Pages under Real Estate Loans. Look for
ads that say "All Credit" or "Any Credit", typically these are hard
money lenders(cash lenders) who have investment money. Can't find any? Look in
your local newspaper for real estate ads saying "We Buy Houses", these will
often be cash investors. Still can't find any? Look in your local legal
newspaper for Notices of Sale. A location will be listed where properties in
foreclosure are going to be auctioned off. Go to the location at the time specified
and talk to the investors who show up. These are investors used to dealing with
properties in foreclosure, find out their requirements, get phone numbers and you are all
set.
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Sign up with us and we'll provide one-on-one help for as long as you need it. Oh,
I'm sure they have experienced investors just sitting around waiting for the phone to
ring. There are newsgroups where you can have your questions answered, but your best
source of help is going to be investment clubs. Clubs are comprised of local
investors who will share information and resources with you. They will have a good
grasp on area values and should be able to help you more than anyone else. Plus, if
you haven't found a cash investor yet, this is a good place to find one or get referred to
one. Look in the Yellow Pages under
"Clubs","Associations","Real Estate" or various web sites
have lists.
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Take a deep breath, relax and plan your success.
You'll need information, resources and knowledge. Find a local investment club, ask
where and when they meet, go to all the meetings, absorb everything you can and make
contacts. Evaluate the books and information you have seen, pick a source and start
reading. Follow the web site discussion groups, print articles that have resources
or solid information and save them. Read all the articles you can find on different
web pages, it will add to your knowledge.
Consider completing a Real Estate Licensing Program
Many established real estate companies provide subsidized Real Estate Licensing
School. If you do not have a background in real estate, this is a fairly inexpensive
way to get an education regarding the technical processes involved, what is necessary to
sell a home plus all sorts of additional knowledge. Many companies charge a
higher fee if you do not get your license and work for their company, so be sure to shop,
an independent school might be cheaper. Look in the Yellow Pages under Real Estate
Schools. Keep in mind that if you actually obtain your real estate license, you
have different legal considerations than if you are unlicensed. Even if you don't
actively sell property full-time, when licensed, you are considered a real estate
professional.
Go to Open Houses
Every weekend houses are held open by Realtors. Go to all the open houses in your
area every weekend. You'll learn what sells, what doesn't, what the price ranges are
in different areas and start to build a knowledge base of property in your area. It
takes gasoline and time, but it's the best way to get a feel for what values are in a
given area.
Build your Resource File
Organize your information and file it. Individual properties will come and go, but
six months from now, you don't want to find a property that suits a cash investor's
requirements and discover that you cannot find the investor's phone number. Or you
were supposed to check back with a property owner this week, but you can't find the
paperwork and don't remember the address. The only way to keep track of everything
is to have organized files that you use.
Understand it doesn't happen overnight.
Honestly, the first few times you try to put a transaction together, I would expect
problems. It's part of the education process. As long as you don't make the
same mistakes again, you'll only get better at what you do. Education is the first
big hurdle, the second one is experience, and there's only one way to get that. To
just do it.
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When everything is looked at, MOTIVATION is the base for all of it. You have to
be motivated to get the education, you have to be motivated to get the experience and you
especially have to be motivated to keep on doing it through the times where nothing seems
to be going right.
ARE YOU MOTIVATED?