Oklahoma Foreclosures for Sale

Posted in Foreclosures For Sale, November 20th, 2008 |

One of the ways in which an investor can make really good profits when buying real estate for investment purposes, is to approach a homeowner who is in default with his mortgage. The pre-foreclosure sale has its inherent risks, but also has the potential to reap large profits.

The homeowner has to be approached in this phase of the process, as once the property has gone to auction and been sold there is a whole new kettle of fish to deal with. Oklahoma foreclosures for sale by banks and lenders, are generally sold at market value and there is less chance of the investor being able to make a decent profit.

By showing an understanding of the plight of the homeowner, the investor may just be able to catch his interest. The best way to do this is write a letter. Make it clear in the letter that you might be in a position to stop the foreclosure from happening and thereby offer the homeowner another chance. This will save his credit rating and in many instances provide him with the cash to relocate.

The letter should be profession and kindly, ask the homeowner to contact you. If he has still not contacted you in a certain amount of time, write another letter. Perhaps you might word the second letter a little more urgently, but always remain courteous. As the auction date comes closer, it might be necessary to send more regular correspondence.

If you do eventually manage to get in touch with the homeowner and he responds to your invitation. Don’t speak about the matter over the phone, just make an appointment to meet him at the property. Don’t be pushy and allow the homeowner to understand that you want to help him resolve this problem. Request that he have all documents pertaining to the property available at the meeting for you to check through them.

In order to make an offer on the property it is necessary for you to have access to all loan, lien and debt information. The condition of the property needs to be assessed and together with the market and default value, the investor will be able to make an educated formulation regarding making an offer.

If the investor visits the property in person, he might find that he has an angry homeowner on his hands. Never snoop around and leave if asked to do so, trespassing is unlawful.

If by any chance a meeting is arranged with the homeowner, be polite, sympathetic and use common sense. Purchasing an Oklahoma foreclosure for sale in the pre-foreclosure phase is about finding out what the homeowner needs, in order for the investor to make the purchase. Inspect the property together with the homeowner and never make and comments on his lifestyle. The only thing the investor needs to discuss regarding the property is its physical condition, nothing more.