2 Our Website 3 A BRIEF GUIDE ON FORECLOSURE INVESTMENT
Investing in foreclosures is a form of distressed real estate investing. In essence, you are investing in real estate that was used as a collateral for a loan whether mortgage or otherwise. Foreclosure is a technical term for the legal process by which creditors recover the outstanding part of their loan from a borrower that has stopped making interest and/or principal payments.
What makes investing in foreclosed properties great? For starters, they are usually sold at a bargain when compared to their actual worth. The actual worth is usually the amount owed to the lender. People who buy foreclosure properties have to pay very low sums for properties that might be quite excellent. The deep discount that comes with buying foreclosed property is the principal attraction to investors.
A foreclosure list would give you advantage since you would know just which property is about to be sold off. You would also be able to gauge the likely demand for such properties and react accordingly.