preforeclosures? - Posted by jkf

Posted by jkf on July 31, 2001 at 11:00:24:

I live in area that preforeclosures dominate the market. However, I am not totally sure how I go about making money from these types of deals. I still need to finish cleaning up my credit and do not have a lot of funds to work with. All of the sellers need to have their back mortgages payed up, but I do not have the funds to pay the mortgages they are behind on. Would someone tell me what is the best technique to use and briefly show me how to structure it? Is it mandatory that they have a lot of equity in the property? I thought lease options might be the way to go. Lease the house from the seller and have my tenant/buyer pay a earnest money deposit and in turn I pay the mortgage that is behind. That seems very risky and may take a lot of time to complete, and that is something a preforeclosure seller does not have (time). I have found 13 preforeclosure houses within a 10 mile radius in two weeks. Is their potential to make some good money from preforeclosures. Thanks in advance.