Can you make money from foreclosures? This guy thinks you can.

[jamesww]

Wow, today must have been national spam day. Spam is just covering almost every forum I attend and many of the blogs I read.

[magma]

Foreclosure investing is really hotting up the scene nowadays. As more and more people are clearing off the debts by their property sale…..its a good way to capture some profits and quick ones too. realpropertyprofits.com Foreclosure profits are not only earned quickly but they are easy to earn also provided you know a foreclosure system. You just need a proper plan and way to go about it and then you can be good at judging the circumstances.

[Jim94]

There are so many foreclosures out there right now that you can definitely make money at it. I fell into it because there are so many foreclosures in my area that those were most of the seller calls that I was getting. It's not easy, but once you have a system in place and are more familiar with the process, it gets easier - not much quicker though as the banks are backed up with short sales right now.

[Nola Realty]

You know it is like trading Options. The premium on homes today is low with descent potiential for future equity. We are purchasing only those that can make 30% monthly minimum positive cash flow as a lease, and that is after all expenses. Now, when the housing market makes a reversal and it will, listen closing to Wall Street, those rentals will begin to be bullish and equity will grow again.

The key is to find the right deal and lease it asap. Remember, the market is shifting to rentals and property managing. One thing though, be careful of being highly leveraged, IE Bear Stearns.....

[Howard]

You can make money from foreclosures. I've done it and so have lots of other folks. Yes, it does require some commitment in time and energy. Yes, you do have to know what you're doing.

It can be tougher in a recession market, so you have to allow for some extra profit margin when doing deals. You also need to adjust your marketing strategy to fit the market. Regardless of whose system you purchase for investing, make sure you understand the 3 phases of foreclosure: preforeclosure, auction, and post-foreclosure, and how to profit during each phase.

[escapeso]

So in addition to all the spammers there were a few non spammers and here is my foreclosure question.

I was watching some hdtv show on foreclosures. They had a guy said he had done lots and lots of profitable flips. And he bought a place for 60k. During the work he way in a hurry because every day he was paying more on the mortgage.

If he really had made so much money before why didnt he pay cash for the house. In addition to the mortgage he would have avoided all the intial loan related costs. And he could have made a cash offer which might be more appealing.

Is there something I am missing? Is there a benefit to getting a loan for a flip?

[Nola Realty]

There are interest only (construction, re-hab) mortgage programs available for flips. Anytime an investor can use OPM (other peoples money, IE the bank) he will put his personal money into another investment (stock market, mutual funds) that will produce a return while he flips his project with someone elses money. Remember, he has the funds to back the loan if need be, but he doesn't necessarily have to use it as long as the bank will support his flips. In short, his return on investment will come from the flip and where ever he has his personal money working.....

[uchoa55]

You can certainly profit from foreclosures, but you need to be carefull about the condition of the properties and the area. There are some hot real estate spots that you can easily fix and sell properties for a profit, so look into a good location so you dont get stuck with a home.

[labailout]

Many hard money lenders can help foreclosure buyers with fast cash against equity. It open the door for acquiring several properties without the need to rely on conventional financing

[REI.Entrepreneur]

Why does anyone even bother replying to this post anymore? It was originally spammed in 2004... weird to see it lingering 5 years later

Let it die people