I would like to buy a house on forclosure and would like to know how that works?

Question

i want to buy a house and want to get it from foreclosure how do i do that help please. as much info a possible.

Answer 1

The best place to start is a local Realtor. They will usually lead you in the right direction.  You can call several of them and see which gives you the best places to go.  If you end up finding one you trust, that is even better.  You can use his services and because he is familiar with where they are located im sure he will be familiar in how to bid on them or figure out how low you can bid.  If you live in Texas or New Mexico check this site out www.southwestalliance.com  this site is contracted by hud.  HUD pays 3% closing cost and up to 5% in realtors costs.  And whos says the govt. doesnt care :)

good luck

Answer 2

I have to answer this to save you some grief.  Forget the hype - read what is being said about the RE market today:

1. Property values have slid 20% on average this year, and is projected to continue for several more years.

2. You can't trust anyone in the RE industry as a source for market value: brokers, agents, mortgage companies, appraisers, media, goverment, industry, etc.  They ALL were greedy.  Properties were valuated by how much people WERE buying (or all now; but they are STILL speculating - so again, don't believe the hype.

A better way to valuate a property is to find out how much it cost to BUILD, then add on a reasonable profit (50% of of the building cost, or whatever the industry standard is for marke-up).

The bottom is far below whatever is being SAID it is now.  People are still sheep: they are still speculating on RE by buying stuff NOW that they HOPE some other sucker will buy later.

If you are not able to buy and hold - and if you are not able to have someone stay in the property and pay market rate rents to cover the mortgage - don't do it.

If you bought a property for $500K and it dropped 20% every year the next 5 then it is worth zero!  Get it!  Obviously, it is not going to be that extreme, but even losing 1-% per year - which is a very conservative estimate in this recessionary period - makes it a BAD investment.

I'm putting my money in businesses that earn monthly cash flow.  It's harder work, but at least you have more control - the key their is good market research and testing, so you only do what WORKS with the consumer...