| Some of the best and most profitable real estate | | | | on a tight deadline. It's very important that you keep |
| investments are accomplished by buying below real | | | | your timeline in mind when preparing an offer. |
| value. There are many ways to obtain a property | | | | Certain things like title checks and inspections must be |
| below value. And, remember: not only are you helping | | | | done. You must estimate the costs of any repairs that |
| yourself get a good deal, you will also be helping the | | | | need to be done and determine whether the property |
| homeowner out of a difficult situation. | | | | will still be beneficial for you to own or "flip" after |
| Two of the best situations in which to make this | | | | repairs and remodeling. You'll need to get a |
| happen are the pre-foreclosure and short sale deals. | | | | Comparative Market Analysis and determine the |
| But to make these deals work, you need to have all | | | | Capitalization Rate, to assess net rental income, if |
| your ducks lined up in a row; there are things you have | | | | you're planning to rent the property. Depending on how |
| to know before you make an offer. | | | | far along the foreclosure process is, you may not |
| Whether or not a property will be a good | | | | have enough time to get everything done and help the |
| pre-foreclosure or short sale investment will not be | | | | homeowner before the bank forecloses. |
| immediately apparent when you first look at a | | | | Still, there hasn't been a better time in history to work |
| property. Something to consider is that you may not | | | | with pre-foreclosures and short sales. Foreclosures |
| have the luxury of an extended timeline as with an | | | | are at an all time high. Mortgage lenders are desperate |
| outright sale. | | | | to reduce their inventory of real estate. Lenders are in |
| Many times the homeowner is already behind in | | | | the business of loaning money. They do not wish to be |
| payments and the mortgage lender has already begun | | | | owners of real estate. They'll leave that to you. |
| foreclosure proceedings. This means you will usually be | | | | |