Hello everyone, my name is Aaron. I am very new to the real estate investment game, as in I have never done any kind of deal what so ever. My girlfriends dad has a house that is in pre-foreclosure. I would like to try and help him get rid of it before it goes into actual foreclosure, what can I do? I know a very little bit of how the process goes. I’m working on getting a buyers list together right now. Any advice anyone can give me would be awesome. Thanks for your time!
First thing you need is some sort of education so that you’ll have some idea of what you’re doing. But in the meantime what are the numbers? At least need after-repaired value, loan balance (monthly payment & arrearage would be nice too), & repairs needed.
I have always said that foreclosures and new investors don’t mix. Add to the mix the emotions of your girlfriend, and this is a ticking time bomb.
Getting started in real estate, a good idea. This deal, a disaster waiting to happen.
Ha, didn’t even consider the domestic angle LOL! Yeah I’d refer this to another more experienced investor and maybe negotiate a small fee or cut of the profit in exchange for providing the lead.
lol, thanks for the advice everyone, no worries about the domestic dispute, she reads this as I type it, she is learning right along with me. I figured it would be a good idea to refer to a more experienced investor, but I was also looking at it as a learning experience. I do have a mentor/buyer that I can pass it off too, but in the end I would still need to know how to do it all eventually. So that’s where the education aspects come, need to learn it, here is the opportunity to learn it, just trying to figure out the steps whether I did it or not.
There’s been lots of new state-specific foreclosure legislation introduced since 2008…you’ll need a good lawyer to weed through it. For example, in my state I’m not allowed to cut a deal directly with someone in preforeclosure…has to go through a Realtor first, plus a bunch of other stupid processes that are well intended but have unintended consequences (as do most laws that “protect” the consumer).
So, what are the numbers?