How to Get Free and Effective Foreclosure Deals

By: Robert Lam

Your aim as a pre-foreclosure and/or foreclosure investor is to invest in the most profitable deals available. That being said, a lot depends on your ability to source good properties to invest in. But what if great deals came to you... and you didn't have to always hunt them down yourself? What if I told you you can get these deals and the sellers will immediately treat you as a credible source without you even saying a single word? Does this sound too good to be true? Well, it's not...

Take a moment to think about the process involved in finding and investing in pre-foreclosure and foreclosure property investments. It doesn't take much imagination to realize that a LOT depends on acquiring and using the right information, as well as working with PEOPLE. Real estate is a people business and when there are people there are "networks" of relationships.

In fact, it's often through people - certain people - that you will be able to acquire and use the critical information you need to make the best investment decisions. These people include, in particular, the professionals who know about upcoming pre-foreclosure and foreclosure properties before anyone else. It follows that if they tell YOU about these properties before anyone else, you'll have an advantage! It's about "being in the game" and constantly and consistently working the business and you'll eventually achieve name recognition and gain the respect of other players in the marketplace.

So who are the professionals who can give you the "inside scoop"? There are three in particular: real estate agents who specialize in pre-foreclosures and foreclosures, mortgage brokers who may be aware of pending foreclosures, and property experts you can hire to find properties for you. Let's go into each category one by one.

Firstly, with regard to real estate agents, there are agents who focus on representing pre-foreclosure sellers and also those who specialize in, for example, representing banks trying to get rid of real estate owned (REO) properties. REOs are properties that have not been sold at a foreclosure auction, and which the bank has been forced to buy. You won't necessarily hire such agents to begin with, but if you have made yourself known to them, have always acted with the utmost professionalism, and have proven yourself to be an active investor in their area, they will hopefully get into the habit of calling YOU when a property lands on their books.

Similarly, if you are on good terms with various mortgage brokers, they may - within the limits of their legal duties - proactively let you know about properties that have just gone into foreclosure. In order to stay on their radar, I suggest you keep in regular touch with them, and be equally prepared to refer business to them.

You can also hire people to find properties for you. Sometimes known as "bird dogs", these property finders are typically paid - either a retainer and/or a commission on the value of the sale - to find potentially profitable pre-foreclosure and/or foreclosure properties. Just be sure to check a person's background, credentials and experience before you hire them to do this essential leg-work for you.

As you might imagine, you'll be in a much better position to profit from pre-foreclosure and foreclosure investing if you have a team of professionals on board to bring you deals. For more information about how to get this and other "unfair" advantages, be sure to review my site at .

Foreclosures
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