The Pre-Foreclosure & HUD Home Experts!!!
What is a Pre-foreclosure?
Definition: Pre-foreclosure
What is preforeclosure? It's that period between when the lender files a foreclosure notice of default in the public records and the date the property is to be sold at public auction or trustee's sale. The average time it takes to foreclose on a property varies widely by state, from 90 days to 10 months.
It takes some research to find preforeclosures and a good deal of persistence and diplomacy to convince an already-distressed homeowner that you're part of the solution, not the problem.
We have done the research and compiled a list of properties that are in active Pre-Foreclosure status.
Pre-foreclosure Pros and Cons
Pre-foreclosure- A Pre forecloseure is a deal between the homeowner, seller, and in sometimes, the lender. This can be a very successful way for both parties to make a quick transaction. First, start by seeking for loans that are in default. With this option, you will be able to inspect the home and determine what the seller's needs are. Also with a pre foreclosure, you will need to find out the actual value of the home, what it will cost for repairs, and how much profit you could make on the resale. To stay ahead of the game, you will need to make any repairs as quick as possible and turn a quick sale after you purchase the home.
Pre-foreclosure Pros
- Discounts off market value as high as 40% (We negotiate on your behalf with the banks)
- Provides time to conduct research on specific properties (We research the property you want to buy)
- Sales agreements can be customized and flexible (We handle the paperwork)
Pre-foreclosure Cons
- Homeowner can sometimes be hard to reach (We locate and contact the homeowner for you)
- Competition for the purchase is high (We help eliminate competition by locating these properties early in the foreclosure process)
- Possibility of negotiating with other lien holders (second mortgages, Government liens, etc.) (We negotiate directly with all lien holders)