Many people want to invest to grow their money fast. Some invest in stocks while others invest in real estate like in pre-foreclosures. In this article you will learn why you should invest in pre-foreclosures.
Investing in Real Estate can be a good way to grow your money.You can invest in Boston luxury apartments, as Boston is a good place to invest for real estate with the favorable rental prices.However, instead of buying a new unit, why would one should invest in pre-foreclosures? There are some advantages for those who choose to do so.We have listed the reasons below.No payment is made at the point of negotiation hen someone fails to pay the amortization, they tend to stop making payments to the bank.Therefore, the moment you negotiate with the seller as well as with the bank, no payment is made right at the very moment you are negotiating.If you are new to real estate investing and are worried about holding costs, then this is a great advantage for you.Achievable Spreads on Equity contacting only the motivated sellers are one of the basics in real estate investing.For example if you are looking for a property in Boston for your Boston Luxury Rentals project, you must look for those sellers who are in pre-foreclosure because they are the most motivated sellers among all the others.They are the ones who are about to lose their house and they are motivated to get out of the house along with the bank off their back.If you are to buy houses from people under pre-foreclosure, making 30%+ of equity spreads is highly achievable.Large Discounts arge discounts are easier to get when investing in pre-foreclosure properties maybe even if you are to invest in high priced properties like the Fenway apartments.This is because lenders are more pressured in liquidating bad loans than taking the property back.After you become familiar with the reasons why the lender give you discount, you can go hone your negotiation skills and achieve larger discount.All of that means that you can get the property for a lot less money than you would have paid for it as part of a regular sale.No Qualifying requirements needed if you are to buy a new property, you need to have good credit and financial standing, because if not you will be automatically excluded from purchasing many kinds of real estate.However, with pre-foreclosure propertiesScience Articles, you just have to take over for an existing financing.There will be no qualifying needed and you can immediately start making payments.
ABOUT THE AUTHOR
This article was written by Bruce Garland.