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Foreclosure Investing: Increase Your Income

If you’re looking for a foreclosed house to buy, check the foreclosure property inventory of Fannie Mae and Freddie Mac. Majority of foreclosed homes on the market are owned by Freddie Mac and Fannie Mae.

As you’re looking for foreclosed properties to buy, more and more foreclosed homes are entering the foreclosure inventory, increasing choices and chances of getting a good investment. If you’re lucky, the home you like is not spotted by others and stays on the list for some months. The price will get lower and lower until you decide it’s time to buy.

Real estate professional Rick Sewvall has focused on foreclosures for over 20 years. He is presently handling about 70 properties that are either in foreclosure proceedings or in redemption periods. He says that there are a lot of attractive houses among foreclosure properties. Many previous occupants left their foreclosed houses in good shape.

Darren Lee of First Bank and Trust in South Dakota said that many mortgage loans were taken using the flexible rate mortgage option. He says that flexible rate mortgages are good for people who can afford to overpay most of the time, but too risky for people who used them just to make monthly payments affordable during the first years.

Here are some things that you can do as you explore your investment options in foreclosed homes:

Visit the county courthouse and check for homes that are scheduled for auctions. Nowadays, foreclosed homes are auctioned off almost every week.

Drive around the property that you like and examine it from the outside. You’re not allowed to inspect it before the auction.

Remember that some houses are pretty to look at on the outside, hiding interiors that have been ruined by previous occupants.

Look for foreclosure listings in newspapers, web sites, newsletters, newspapers and real estate magazines.

Check notice of defaults filed at the county office.

Related Posts:

• Turning Crisis into Silver: Foreclosure Homes Attract Investors
• Pre-Foreclosures, a Way to Reduce Foreclosure Homes
• Competitive Foreclosure Auction in Naples, Florida
• Government Initiatives to curb Maryland Foreclosures
• Foreclosures Auctions: Not for Amateurs