From an article originally published in www.ReallyNiceHomes.com
Why Buy Pre Foreclosures?
How pre foreclosures can be profitable for the property investor or any first time homebuyer willing to take a chance?
Have you ever heard of the term pre foreclosure?
Sometimes I encounter people that aren't sure of this term. .
Do you think that this means the same thing as a foreclosed property?
If you answered yes to this question, then this post is for you
If you are not familiar with the advantages of buying pre foreclosures, you should at least consider speaking to someone that is experienced in pre foreclosures and show you the ways how you can save thousands buying your next home.
Pre foreclosures are properties that are in the final stage before they are taken back by the bank or lender. These are the short sales and sometimes properties do not even enter to the short sale process and they just go directly to the foreclosure mill.
While in pre-foreclosure, the owner is still in charge of the property, but if they do not make any attempt to rectify their situation the bank or lender/investor will commence the actions to repossess the home.
What are the benefits buying homes in the pre-foreclosure stage?
There are many benefits in buying pre foreclosures. The reason that most buyers miss out on these homes is because they do not know where they are, or how to find them.
Investors do and they love the NON-COMPETITION from regular buyers looking to buy a home for their own.
The number #1 advantage of pre foreclosures is the lower price associated with such properties. The owner is in a situation that they have to sell the house before the bank or lender takes it and is more inclined to secure contract before the lender forecloses upon the property.
In most cases these are what we call SHORT SALES
The lender will have to approve on the offer and it is quite possible to find short sales as little as 50% off of the market value.
Investors love this fact. ... And enjoy hardly any competition in the process.
Can you compete with investors buying these homes if you are a first time homebuyer?
Finding pre foreclosures or short sales can be done in the same way as locating homes than the bank already owns. You can find them with the help of a savvy Real Estate Agent that knows the ins and outs of this process.
Not all agents like working with short sales for various reasons. It is imperative that your agent is willing to take you by your hand and show you the way to success.
The time frame is the most difficult part of short sales. Be prepared to wait, and in fact. . you may be waiting a long time.. .
This is the test for you if you are ready . . . wait a few months but save thousands otherwise.. . When it comes to saving tens of thousands of dollars . . .then the waiting time isn't so bad.
Compared to foreclosed properties, you would normally face less competition with pre foreclosures . . . therefore increasing the chance of getting a great price and ending up with the home of your choice.
If you are looking for a new home, don't forget to ask your Realtor to check out these properties as well. . . Buying pre foreclosures can be very profitable if you know how to play the game.
Fernando Herboso| Carlos Herboso
(Short Sales) (Foreclosures)
"Your Montgomery County Foreclosure Connection"
Our real estate knowledge is always up-to-date. For expertise you can depend on, call us when you have questions about the market or are ready to make a significant move. . .
"Quality representation is not expensive, its priceless! "
We are THE EQUALIZERS for regular buyers out there competing with professional investors
We are specialists in Foreclosures & Short Sales
Herboso & Associates llc
Office 240.898.1848
Fernando's Cell 240.426.5754
Carlos's Cell 240.671.5542
Fax 888.913.3535
Comments(1)