3 Unconventional Foreclosure Buying Tactics

There are many different kinds of foreclosure buying tactics out there that investors use. Buying a foreclosure can be one of the most profitable investments that you ever make if you do it correctly. However, if you do not buy it at the right price, you could actually end up losing money on the deal. The point of buying foreclosures is to make money. Therefore, you need to keep this in mind when buying one. Here are a few unconventional foreclosure buying tactics. 

1. Strike Quickly

One great way to buy foreclosures is to get them before they even hit the open market. Most of the time, if a foreclosure hits the open real estate market, it is not that great of a deal. Many of the best deals on foreclosures will never even see the MLS database in your area. 

Start to develop a strong relationship with a good real estate broker in your area. A well-connected real estate broker can do a lot for you as far as finding foreclosures. If they have a relationship with a local bank, they will be notified first when a foreclosure becomes available. The bank will want to list the property with them as soon as possible. However, if the real estate broker knows that you are in the market for foreclosures at all times, they will contact you as soon as they get the information. This can give you the first opportunity to buy the house before anyone else. This will usually require that you have quick access to funds as this may be the only way that you can get it before it hits the market. However, if you can arrange this, it can be the source of some great deals for you and the real estate broker. 

2. Go Straight to the Bank

Instead of relying on a real estate agent that might have several clients, just go straight to the bank. Try and strike up a relationship with whoever is in charge of the foreclosure department. They can be one of the most valuable resources that you ever come across in this field. They will know the moment that they receive a foreclosure property. As soon as one becomes available, they can contact you and see if you want to make an offer first. This can cut out the middle man and possibly save you some money on real estate commissions. 

3. Market to Homeowners

Marketing directly to those living in the houses that are about to be foreclosed upon is also a great idea. You can put together a flyer or an advertisement that says something about buying distressed property. When a distressed homeowner comes across your advertisement, they will contact you and let you know that they would be willing to sell instead of go all the way through the foreclosure process. This can sometimes net you the best deal of all of the options. 

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