Comments on: A Great Deal? The Real Secret About Buying Foreclosures http://mioaklandcounty.com/blog/2007/01/06/a-great-deal-the-real-secret-about-buying-foreclosures/?utm_source=rss&utm_medium=rss&utm_campaign=a-great-deal-the-real-secret-about-buying-foreclosures Real Estate in Birmingham, Bloomfield Hills, Beverly Hills, Royal Oak, Troy and Oakland County Michigan Tue, 07 Feb 2012 20:06:34 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: DaveinRO http://mioaklandcounty.com/blog/2007/01/06/a-great-deal-the-real-secret-about-buying-foreclosures/comment-page-1/#comment-3002 DaveinRO Fri, 26 Jan 2007 07:03:54 +0000 http://mioaklandcounty.com/blog/2007/01/06/a-great-deal-the-real-secret-about-buying-foreclosures/#comment-3002 Furthermore, not al foreclosures are for failure to pay a mortgage. If taxes are owed, some homes at foreclosure will have a tax lien making it a probable bargain. Correct me i I’m wrong. Seems like your advice is what I see as typical of a real estate agent trying to justify their existence. Also, my advice, never trust an agent who is trying to convince you it is a ‘good time to buy’. I live in a california market where our agent tried again and again to get us to buy. She completely ignored all signs pointing to the impending downturn. Even today she insists we should have bought. Indeed we should have…if we wanted to loose 10%. Oh but remember the power of leverage. 10% of the value of a home would have been 50% of our equity. So she was advising us to make an investment that would have lost is 50% in a little over a year! Would you hire a stockbroker that did the same? Not on your life. And yes we truky would have lost that monley because we will be moving shortly (next 12 months) and would have had to sell at a loss (and she was aware of our short time frame). Furthermore, not al foreclosures are for failure to pay a mortgage. If taxes are owed, some homes at foreclosure will have a tax lien making it a probable bargain. Correct me i I’m wrong.

Seems like your advice is what I see as typical of a real estate agent trying to justify their existence.

Also, my advice, never trust an agent who is trying to convince you it is a ‘good time to buy’. I live in a california market where our agent tried again and again to get us to buy. She completely ignored all signs pointing to the impending downturn. Even today she insists we should have bought. Indeed we should have…if we wanted to loose 10%. Oh but remember the power of leverage. 10% of the value of a home would have been 50% of our equity. So she was advising us to make an investment that would have lost is 50% in a little over a year! Would you hire a stockbroker that did the same? Not on your life. And yes we truky would have lost that monley because we will be moving shortly (next 12 months) and would have had to sell at a loss (and she was aware of our short time frame).

]]> By: Foreclosure Investing http://mioaklandcounty.com/blog/2007/01/06/a-great-deal-the-real-secret-about-buying-foreclosures/comment-page-1/#comment-2402 Foreclosure Investing Thu, 18 Jan 2007 01:35:19 +0000 http://mioaklandcounty.com/blog/2007/01/06/a-great-deal-the-real-secret-about-buying-foreclosures/#comment-2402 I’m glad to hear most people think it’s difficult to find deals in foreclosures because the mortgage(s) total more than the market value of the home. Less competition. But the truth is you can create equity out of thin air through short sales - particularly with 2nd mortgages. The 2nd is wiped out if the house goes to foreclosure so they’re motivated to and often do accept 30% and less to pay off the balance of the 2nd mortgage. Depending on the situation that could create a huge amount of equity. But you still have to find the deals, negotiate with the lender, and come up with the 30% to pay off the second. No picnic but it can be done. <a href="http://www.renegaderealestate.com" rel="nofollow"></a> I’m glad to hear most people think it’s difficult to find deals in foreclosures because the mortgage(s) total more than the market value of the home. Less competition.

But the truth is you can create equity out of thin air through short sales – particularly with 2nd mortgages. The 2nd is wiped out if the house goes to foreclosure so they’re motivated to and often do accept 30% and less to pay off the balance of the 2nd mortgage. Depending on the situation that could create a huge amount of equity.

But you still have to find the deals, negotiate with the lender, and come up with the 30% to pay off the second. No picnic but it can be done.

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