How to Buy Foreclosed Homes.

Foreclosure filings are up 60% from a year ago. 223,005 homes in one month alone. Today you will learn how to buy foreclosed homes. When buying foreclosed homes be careful in what you are buying. There are winners and losers in the foreclosed market. When savings are between 40% to 50% off the actual prices that is a deal. On the other hand when the difference is 20% these are called losers. There is no real chance to make a profit when the savings are 20% compared to 50%.

Difficulty: Moderate

Instructions

Things You'll Need:

• Knowledge and experience in the real estate market.

1. Buying at an Auction
   
   Don't buy in an area flooded with foreclosures. There areas that have at least 7 foreclosures on one block. This is what I call the measles effect. So many houses foreclosed in the same area will drive the value and the resale of your investment are hard sale for you. In areas with flooded foreclosures the property values drastically drop.

2. Look/Dress like a Real Estate Agent
   
   Dress professionally and stand close to the auctioneer
   Perform as if you are a broker-dress like a millionaire people might think you are the bank or rich and they can't compete with the bank.
   Intimidate the competition by playing the role of a millionaire.

3. Have your mind made up
   
   Set limitations on what you are going to spend on homes. Auctions are emotional set-ups for people to overspend on the home of their dreams or cant beat investments. Get in and get out!!!

4. Always bid on houses at front of list early bird gets best treats and prices. Everyone else will compete towards the end and drive the prices of the left over properties. Bid early those properties always sale for less.

Tips & Warnings

• Stay focused on your goals and inspect properties with contractor before bidding on the property.
• When bidding on properties make sure you have cash to rehab and improve property.

Resources

• www.whatdoidonow.biz

[georgiarealtor]

on 5/4/2009 Keep the articles coming!

[tundranut]

on 3/4/2009 Yes, I agree, these are great tips. Still takes guts, but GREAT tips. Thank you, 5*

[WendyRenee]

on 6/25/2008 Great tips!!