Is there anyone out there thats made money buying and selling forclosed houses?Is it a difficult process?

Answer 1

No it's not

To make a profit requires consistency.
To have consistency requires you know and speak the language.
Take the real estate licensee course. You will learn most of the ins and outs plus you’ll meet the real players in the real estate business. Because they know that the real money comes from knowing the ESSENTIALS.

There are no short cuts to success in real estate.

I just said this to another guy so sense it fit I repeated myself.

Answer 2

I went on some courses about this, one thing that they emphasized was that you have to speak with the person who owes the debt directly to the bank if they are still living at the property, they are usually evasive of answering calls so you have develop a technique to catch them and definitely before it goes to auction; as at auction there are too many Joe Bloggs people that bid too much.

You have to find out the current market value from the last home sold in that area, do a search for any outstanding taxes, Liens, and mortgages; this should give you a rough equity in the home. If the figures add up to a good profit then you offer the people a cash lump sum to move out, usually $3000 to $10,000 depending on the profit you envisage making. Never ever give them any money until they have moved out of the house and you have changed all the locks, there is a form they have to sign for you to take over their loan and pay all of the outstanding back payments to the Banks and Liens.

In some states doing all of this is illegal unless you do it in a certain way, California is one of those. You will need to be trained in how to do it the correct way; there are courses that you can go on to learn by different companies.

In a falling housing market it becomes more risky so you have to have a bigger profit to cover any market downturn in prices.

Carleton Sheets has info that you can get cheaply off eBay and also Russ Whitney has a free course too. (Don’t buy the ones that cost $thousands that they try to sell you on the free courses.

You definitely need training and guidance before to do it.

http://www.russwhitney.com/

http://search.ebay.com/search/search.dll?from=R40&_trksid=m37&satitle=carleton+sheets&category0=

Answer 3

I'm assuming you have watched "Flip that House" on HGTV. One of the companies they feature frequently in Charleston, SC is Trademark Properties...go back and watch their shows, and here is what you need to notice:

1. They research the market value of the area they want to buy a foreclosure in BEFORE the purchase it. If they cannot remodel it and sell it for 15% BELOW area market, they don't buy the property.

2. They have the ability to pay cash, but frequently don't. They have banks that will give them 90-day loans.

3. They have contractors that will show up within hours of purchasing a property and will work 12-hour days for them...all night if necessary...every contractor WILL NOT do this...however, if you are sending alot of business their way...they will.

4. They have the ability to float a property if it doesn't sell and even sell it at a loss, if it becomes necessary....sometimes you have to admit you have made a mistake, cut your losses and move on.

5. On lower end properties...they don't get caught up in the details...they spend money on what counts....appliances, hardwood floors, etc.

6. They have a very strict rule to not allow folks to view a property until it's ready for show. First impressions are everything.

7. Curb appeal...very often overlooked. If you can't get a customer inside, you can't sell it.

I have personally met these folks and while the show does have some exaggerations, these people are beyond skilled at doing what they do...and the only ones I have ever seen featured that actually KNOW how to flip properties...once you compare Trademark to the other "flippers" featured...you quickly start to see where money gets eat up...and often in unreliable contractors, not focusing on what will build value, not having a plan and not knowing the true cost of repairs.

Answer 4

It's nowhere nearly as easy as the late night infomercials make it sound. They aren't to be purchased for "pennies on the dollar", they're many times in need of extensive repairs and updating, and you need a substantial amount of cash to finance them and handle the needed updates.

Then you sit back and hope you've not made a drastic error in paying too much.

Answer 5

If you have capital to invest and can control your return on your investment. You might make money in this real estate market, buying and selling foreclosures. But it's risky and not going to make you a millionaire. Unless you're related Donny! LOL