It is everybody’s desire to find a bargain in real estate market. The best option is to look for bargained houses turning into foreclosure. It is also the best source for getting big profit in house selling since you will get enviable discounts.
When homeowners are in serious dilemma about their property financial obligation most likely the house will end into foreclosure and since homeowners doesn’t want to have a bad impression on their financial credibility they will become a motivated seller and are willing to sell their house at a lower price than the actual market value.
Generally affected property owners will be given a grace period to repay their mortgage installment. It actually depends on the state where the house is located. If homeowners responsibility is not compensated then that’s the time the lender will file up for foreclosure. The foreclosure process exercises the rights of a loaner to take hold of the property and sell it to public auction in order to recover their debt.
Bargained houses are available in government. Failing to meet financial act to government loan are treated the same way as to other loaner and banks treat their clients. The property is reclaimed and becomes a property of the government. These homes are a good source for investors since they are available mostly at bargain price.
Tax foreclosure homes are another good source of bargained houses. The IRS is rigidly accurate in collecting property taxes and when it comes to liens they are a major holder that even replaced the lender on lien over mortgage.
Lawyers specialized in divorce; real estate and bankruptcy are great source of cheap and bargained houses.
They will always have a bargained houses lead. Approach and work with them. Attorneys love to accept referral fees legally.
Another source is the foreclosed homes from real estate owned (REO). The positive thing about REO’s is that you will have an idea of what the house look like because you are able to check it before it is being bid and the bad side is that banks would sell the house to the highest bidder, meaning they always get the highest amount to cover the foreclosure losses, not the housing market price though.
There are many sources of bargained houses it is just a matter of how you work and how motivated you are as an investor. Bear in mind that time matters in investing with these properties. Having the leads doesn’t secure success. Be wise enough as an investor; be strategic on how you market. Build good reputation in every deal you make.