Please help, I need some information about realtytrac.com?

Question

Someone gave me this website address, and when checked for homes in the areas that I am interested in, the prices looked too good to believe. I don't have a lot of info about real estate. Can someone tell me about this particular website, has anyone purchased a house from it? And why are the prices so low? I was told by someone who joined that it took them forever to have the membership cancelled, becuase every time they promised to cancel they never did.

Any tricks involved, I was also told that their listing is outdated and not true?

Answer 1

I am a real estate broker and investor in Southern California. I use this company as one of many sources for pre-foreclosure listings. I find that most of their info is outdated, but because of the foreclosure timeline in California, that is ok with me.

Now, to understand what the numbers mean and how you could use this info to your advantage, I suggest you read a book called "Quick Cash In Foreclosures" by Carey. Read this book, because if you see a 200k house selling for 30k, chances are it's the second (or third) lien holder that did the foreclosing and now you have to pay 190k to the first lien holder.

In my personal opinion, it's much better to buy out the equity of an owner or walk into a home by taking over the payments instead of paying retail prices for a home and find traditional financing. Especially if you find a pre-foreclosure in which the owner's loan is from 2002 with a low interest rate. I must warn you, it is hard work to locate a willing owner and negotiate a deal, but it's worth it. The only downside is, you have to fall in love with the numbers and not the house. However, a smart person would consider that as an upside. ;)

Also, unless you're good at determining value of a home, I suggest you work with someone that does. Find one that knows about non-traditional home ownership and knows what contracts to use and how to obtain the property. The book should help.

Regards

Answer 2

The prices on realtytrac are exactly what they are. I have the same list and am in the process of preparing myself to purchase a home and most likely it'll be one of those on that site. Those are foreclosed and back taxes homes. My friend just bought a 3 bedroom 2 bath from off there valued at $160k for $30k the house is crazy beautiful....Just pick out the home you want go see it. talk to the people about how to go about purchasing it. Then go it. It's fun and rewarding at the same time. Whatever you motive is for the place. If you need any further details there is a slot called contact us...use it and they'll help you out. Good Luck