This is not my area of expertise. So, if I know of a house that might enter foreclosure soon, do you just contact the loan holder and make an offer? If there's multiple people interested does it come down to bidding? I hear most of these properties don't make it to the courthouse steps, and are short sales by the banks.
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Buying a short selling house.
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I think it would have to be in foreclosure and the demand letter send before they would talk to you. The lender has companies in place to handle this so getting ahead of them would be difficult. In for more info.
I have bought houses like that. Owner is behind, bank is moving to foreclosure. You can buy or trade cash and other goods from the owner. Once it hit the steps, banks will bid to amount owed. If no further bids. Bank gets it back, then it a closed bid to the bank. Or if you bid more than the bank on the steps, welcome to the club.
And pre approved
That's a foreclosure sale.
Short sales are only an option once the owner goes into default.
Be prepared for it to take some time, last short sale I did took almost 6 months from start to closing table.
Yes, the bank will take multiple offers on a short sale. It is not up to the current home owner but the current bank/ lien holder what they decided to do.
You might look into loan assumption depending on how much equity the current owner has.
Contact the owner and see how close they are and see if it can be salvaged. If it can be salvaged attempt to negotiate with the current owner to purchase the house from them or go directly to the lender. Some banks have departments that deal with foreclosures so they will sell it themselves or it may go to auction on the court house steps. Do a title search. If you buy a house with a lien on it you also get the lien. My wife is really good with this stuff if you have any questions hit me up.
