Hello, I am new to all of this so I apoligize in advance for the repeat questions. I want to begin investing here in CA. I have little money to start and my credit is now poor because of a recent bankruptcy. I know of two differant properties that my personal friends have just recently walked away from. Both people are in bankruptcy and have just left their homes and rented something else. Neither wants anything but to be done with the situation. Both homes are still in good shape and in no need of repairs. Both are upside down. My question is how do I capitalize on the knowledge of these properties and what do I do to invest in these? I have no experience and have no idea where to start.
If the properties have 2 mortgages you have a huge chance of reducing the 2nd mortgage to 10% of the original value. At this point if there is equity in the property you can have an investor make up the back payments on the 1st and pay off the 2nd. And sell the house for all the money.
If these houses have only one mortgage your chances of reducing these mortgages low enough to create equity will be very tough because there is no argument for the bank to take such a huge discount when all they have to do is list it with an agent.