Investing In Foreclosures Online Is Easy

By Austin Butler

Today in nearly every city in the United States there are great opportunities for savvy real estate investors. The current economic climate has produced a boon of empty, under-priced and foreclosure listings in all price ranges and every condition. But it is definitely unlikely that prices will remain this low forever and now will be a great time to invest in foreclosure listings.

Recent real estate markets throughout the country are going in a downward spiral. This is not necessarily bad news. The smart investor who takes the opportunity of the down market and invests in foreclosure listings will be the one who will also be taking the opportunity of the profits when things turn around. Real estate cycles bounce back and home prices will not stay down forever. Now is the time to invest in foreclosure listings.

There are many ways to purchase these under-priced properties and foreclosure listings. Right now there are homeowners who are basically "upside-down" on their mortgage. In a pre-foreclosure sale a lender will allow a homeowner who is behind on their payments to sell the home and pay the proceeds back to the lender. If the home will only sell at a price that is less than what the homeowner is obligated to on the note the case is called a "short sale". There are many short sale opportunities available right now. Look at your local MLS or contact a realtor.

Another way to get a great deal on a foreclosure listing is to purchase at a foreclosure auction. A foreclosure auction takes place at the local county courthouse. The property is auctioned off to the highest bidder and the selling prices are usually quite acceptable. Many times the competition is low and the only other bidder may be the bank that holds the note. The one concern is that these homes are sold "as is" and if there are any needed repairs the investor will be responsible.

If there are no takers besides the bank at the foreclosure auction the bank will have to dispose of the property themselves. Most of them will use a realtor but as highly motivated sellers they will drop the price as necessary until the property sells. Some of these properties have had repairs completed but some will need repairs. Make sure and complete the proper inspections on any foreclosure listing that you purchase.

When someone invests in the stock market and the stock crashes they have the potential to lose every single dime that they invested. That is a definite advantage to investing in real estate and foreclosure listings. While we may not be able to predict when or how much the price will rise you always know that the home is worth something and you can sell it or rent it. In distressing economic times this makes investing in real estate and real estate foreclosures a great opportunity compared to many other investments.

When you invest in foreclosure listings, it is important to make sure that you do all of the same inspections and due diligence that you would do if you were purchasing the home to live in. You will be liable for any repairs. It is also important to have your funds ready be it cash or bank financing.

But now is an an opportune time to invest in real estate and foreclosure listings in almost any market in the United States because the prices are low and the potential for profit is very good. - 23199

About the Author:

Austin Butler lost a ton of money in the stock market but recouped many of her losses by getting a foreclosure list from her city. She currently owns 3 rental properties and is in the process of acquiring more.