There are many investors doing real estate short sales because the lenders are willing to discount home. That is exactly what a short sale is a process where the lender discounts a home to sell. Let’s take a look at the 8 steps to doing a short sale.
- Marketing to Pre-Foreclosures – The first thing you have to do is find homeowners that are behind in their mortgage payments. You need to find your local list of homeowners in Pre-Foreclosure so you can mail to them.
- Letters to Homeowners – This is the best way to get homeowners to call you. Send letters telling them that you can help with their situation and that you are interested in buying their home.
- Calls from Homeowners – Once a homeowner receives your letter they will give you a call. Answering your phone is one of the keys to short sales.
- Meeting Homeowner – If the phone call went well and the house seems like it might be a good fit for a short sale then set up an appointment. Meet the homeowner with your paperwork and take a camera to take pictures when touring the home.
- Call the Bank – Send the bank the letter of authorization that you got from the homeowner. You will need to call the bank to find out the fax number to send in the letter. Once the letter is in then you can talk with the bank to see if they will consider a short sale.
- BPO – When you call the bank make sure you ask the Loss mitigator for an internal inspection of the home not external. This is the most important aspect of a short sale.
- Short Sale Package – Hopefully you sent in the short sale package to the lender. Call them to make sure the package arrived with all the documents included. These lenders have a tendency to lose paperwork.
- Offer Accepted or Rejected – If accepted get everything lined up to buy the property. If the offer was rejected then you have to counter offer or walk away.
Hopefully this information on the 8 steps of a short sale will be helpful to you. You will need to understand the details of each step so make sure you understand that before you start. To learn the details of doing short sales visit us at http://www.CollegeOfREI.com.
Short sales are hot right now with many banks in trouble. The right short sale systems can help propel your real estate business to the next level. Doing a short sale is not hard but does require you to do some key things to succeed. Let’s look at what makes short sale systems great.
1) Find Deals – Does the short sale systems lay out for you a way to attract motivated sellers losing their home? You must get motivated sellers calling you so you can begin a short sale process.
2) Talk to Homeowners – You need to understand how to talk with someone losing their home. This is a very emotional time for them and you need to be sensitive about that.
3) Lenders – The system needs to teach you how to talk to a lender. How to negotiate with the bank to get your price.
4) BPO – How to work with BPO agents to get your price. Why not meeting with the BPO agent will ruin the deal you are working on.
5) Offers – How to create the offer to the lender. How to make counteroffers to get the price you need.
6) Sell – You will need to learn how to sell property to other investors. How to build a list of buyers with cash.
Great short sale systems will teach you what is listed above and more. The key is to find that system with all the material at a good cost. Do your research and make sure the course you buy has everything you need.
Getting educated in real estate investing is the key to making profits. Many people are utilizing online real estate investing classes to learn the trade. Let’s take a look at some of the classes people can take to learn property investing.
1) Short Sales – You need to look for classes that teach you about BPO’s, negotiating with lenders, how to find homes in pre-foreclosure, meeting with homeowners and how to put together a short sale package.
2) Bank Owned – Try to find classes that review where to find bank owned, contacting realtors that list bank owned, what prices to pay and what to watch out for when buying.
3) No Money Down – How to buy with no money down, owner financing, other people’s money and hard money lenders.
4) Landlording – Make sure the classes review finding good tenants, evicting tenants, rents for rentals, how to manage rentals and rental repairs.
5) Wholesaling – Look for where to find properties to wholesale, how to structure wholesale deals, where to find cash buyers and ensure paperwork is properly filled out for your deals.
6) Flipping Homes – There are many TV shows that have programs showing you professionals flipping homes. This is real but you do not get to see all the details needed for flipping a home. Make sure you learn how to buy right, what price to pay with your profit included, how to utilize contractors and cost for contractor work.
You will have to make sure that the training you are looking for has the information you need to be successful. Visit our website to learn more about training at http://www.CollegeofREI.com.
February 21st, 2010 in
Real Estate Courses | tags:
bank owned,
beginning real estate investing,
flipping property,
no money down,
online real estate classes,
Online Real Estate Investing Classes,
real estate classes,
real estate investing,
real estate investing course,
real estate investor,
short sales |
No Comments
The fastest way to get started as a real estate investor is to take online real estate investing classes. To get started and to maintain as a seasoned veteran you have to take classes or study material in real estate investing. Many guru’s charge you a fortune to buy their specialized course. This was the old way of learning how to invest. The new way involves taking online classes which can be done at your own pace and it is very economical.
Here are the 4 reasons to go online to train as an investor.
1) Time – Online studying allows you to do it when you have the time. You will not have to travel to a 5 or 7 day seminar to have everything crammed down your throat.
2) Cost – Cost for the seminar training and the cost for the trip usually runs thousands of dollars. Who wants to spend that kind of money when you can learn online for a fraction the cost.
3) Review – You can go back and review the material every month so If you have a deal that comes up just go back to review the material.
4) New Material – The online educational sites are always offering up to date material. They are always adding new courses to help their students.
Online real estate investing classes make learning real estate easy and fun. The other good thing is the cost will not set you back thousands of dollars. If you are interested in learning how to invest then check out the online classes for investors.
You are a beginner trying to find the right real estate investing course. The number one question is how do I get started in real estate investing.
Let’s look at the top 5 things you will have to do to get started.
1) Training – You have to get educated on what real estate investing is, how it works, what is your focus and what area of investing am I looking to do. There are several places you can get trained online classes, buy a real estate experts material, find a mentor, investing books or just wing it learn as you go.
2) Money – You will have to use other people’s money in order to buy and sell homes. You will need to look for hard money lender or someone that can finance your deals.
3) Computer – You do have to have a computer but it sure does help if you want to automate a buying and selling real estate machine.
4) Handy Man – You will need cheap contractors to do rehab or repairs on rentals if you are taking this route. You doing the work is not always the best way to do things.
5) Join REIA – Join the local Real Estate association group which has a lot of expert investors. These members have a wealth of knowledge that can help you as you get started.
I hope this helps you in getting started. The first place to start is by taking a real estate investing course. You need that basic knowledge to get yourself going.
Get started with your training in real estate visit http://www.collegeofrei.com
The timeline for a foreclosure is a great question to ask if you are a buyer who buys distressed property or a homeowner in distress. The timeline for a foreclosure is all dependent on what state you live in and whether it is a deed of trust or mortgage state.
Just so you know here is the difference between a Deed and a Mortgage..
Deed of Trust has some similarities to a mortgage. On a mortgage, a lien is put on the property and you hold the title to the property. A mortgage if you do not make payments the lender can foreclose on the property.
In some states, the Deed of Trust is used instead of a mortgage. On a Deed of Trust the lender has the deed to the property but the lender can only take the property back if you do not make your payments or meet the loan terms.
Here is the timeline for a foreclosure. Please contact your lender to get the most accurate information on where they are at in the foreclosure process.
Once two or more payments have been missed, the bank will start the process to begin foreclosure. Depending on your state, the foreclosure process takes a certain amount of time anywhere from one month to a year or two. Before the home goes to auction the homeowner will get a notice stating the fact that it will either be sold at a sheriff sale or a trustee’s sale.
I live in Ohio and here is what the Franklin County Auditor has on their website for a foreclosure timeline.
First 30-90 Days
Owner is behind in mortgage payments. Call your lender. The owner has the right to redeem the property at any point up to the confirmation of sale. Remember that only the Sheriff has the right to tell you to move out of your home.
30 Days Later
Legal proceedings begin when mortgage company files complaint.
28 Days
Owner has 28 days from receipt of complaint to respond or file an answer.
Within 5-30 Days
Mortgage company attorney files motion for default judgment if no answer is made. Court can render default judgment decision. Attorney files motion for judgment decree in foreclosure. Court can render judgment decree in foreclosure decision.
Attorney files a legal form known as a praecipe with the clerk of courts ordering the sale of the property.
Within 3 Days
Within 3 days Clerk delivers praecipe to sheriff.
During the Next 3 Months
An appraisal is ordered and completed.The sale date is set. Sale is advertised in the Daily Reporter for 5 weeks
Day of Sale
Sheriff will auction property to highest bidder.
Within 30 to 60 Days of Sale
Confirmation of Sale (orders sheriff’s deed and gives new owner right to file for writ of possession)
14 days after confirmation of sale the Sheriff’s deed is issued.
New owner files for writ of possession.
Sheriff will give you 10 – 14 days to move out of your home – this may be extended up to 30 days for hardship).
To learn more about foreclosures or short sales visit our website at http://www.collegeofrei.com/index.php?page=shortsale
Who is tired of trying to get your real estate education by buying over priced courses from gurus. I am and I bet you are to so what can you do about it. Try online real estate investing classes that focus on investing and not being a Realtor. Lets take a look at the different ways you can learn how to invest in real estate.
1) Buy Guru Courses – I learned this way but it is very expensive. I know the material is really good but the problem is they sell you a course and then leave some things out to make you go to their boot camp. Their boot camps can cost $2,000 to $15,000 to attend.
2) Books – You can read books from the library or buy a book from Amazon. I also do this but the books only give you so much information which leaves you to figure the rest out.
3) Mentor – This is the best way to learn how to invest in real estate. The only problem is finding someone other then a relative to spend the necessary time to teach you.
4) Online Investing Classes – I like this teaching method because you can learn at your own pace and the cost is affordable. Check out the different real estate investing course that are offered online and make a choice. These sites are usually membership and will cost you $19 to $45 a month.
You can check out our online real estate investing classes at http://www.collegeofrei.com/.
Everyone I am sure has heard about the $8,000 tax credit for first time home buyers. What a great opportunity to get a discount on a home if it is your first time buying.
Let’s walk through the credit.
Who Can Get The Money
You will have to purchase a home in the United States between April 8th, 2009 and before April 2010. You would not be eligible if you or your wife owned a home within the past 3 years.
Who Cannot Get a Credit
That would be me since I already own a home. If your modified adjusted gross income is over $95,000 + or $170,000 + married filing jointly. If you are a non-resident alien you are also excluded. If your home is outside the US then you are not eligible. There are a few more exclusions so make sure you review them before moving forward.
The Credit
Purchase Home 2008
1) Credit will be an interest free loan
2) You will have to make payments starting 2010
3) If you move within 15 years you will have to pay the balance the year you move.
Purchase Home 2009
1) You only have to stay in the home for 3 years or pay back credit
2) You get $8,000 or 10% of purchase price whichever is smaller
1) You can do a land contract with a tenant so they will get that towards the purchase.
2) See an Attorney to do the paperwork and a CPA for filing the returns.
Use a competent CPA so your taxes and paperwork is correctly filed. Best of luck of you are buying a new home.
