The house I'm renting is going to be foreclosed on

Did you look at the news papers for investors or you can call the realator and ask them about their list of the cash buyers. Try these way and see if will work.

Hello Skywatcher,

It sounds like you may have a good deal. I would recommend going to a title company to get more information as to what is still owed, if there are any more liens, and especially, the amount of escrow that may still be available in the home. The amount owed by the owner on liens may be what you may need to pay to clear her name or have the seller pay before taking over the home. I am not too sure as to the next steps from here, but I am reading a great book by Wendy Patton that may help answer some of your questions, if you need some quick tips: The name of the book is "Investing in Real Estate with Lease Options and Subject -To Deals". Good luck...

This will be a perfect subject to deal, but do your due diligence first, see how much she is behind, tell the owner that you will buy the property and save her credit by buying it subject to the existing mortgage, sale her on that and go to a investor friendly title co and close on the home. So you wil buy a home with little money down and keep the equity of the home so you will be able to sell the home for a profit later by different exit strategies

hope this helps somewhat

carlos

You may want to fill out some info about yourself on your profile so that other investors here can know a little about you, and where you're from so that they can network with you...

You need to get comps for the property; also, how much rehab does the house need? You need to know the numbers before you find a buyer...

Wishing you success,

Fill out your profile. You can usually look online for the county data on the house and find the mortgages too. Also find out DOM (Days on market) to see how the houses are moving (selling) in that area. The advice above such as getting buyers is also what will help you quickly tell if you have a deal or not. Best wishes. You can find information mostly online in a matter of hours, so go for it!

Debra,

1) Not trying to sound negative but, if you want help from this site or its members, fill out your bio, first and completely. This site is bombarded constantly with spammers and con artists. The #1 way to spot them is an empty bio. There are a few vets on this site who will not offer any advice at all until you do.

2) If you're renting a house from someone whose about to be foreclosed on, the only thing you can reasonably assume is that she hasn't been spending your rent money on her mortgage, like she should've been. Keeping that in mind, do you really know who you're dealing with there? Is it someone who deserves your help now? Not being a jerk, just think about it for a minute.

3) If you have 10 days to stop a foreclosure, and you've never done a deal before, you may be asking for too much. Again, not being a jerk, but on a site full of people who've done assignments or birddogging for their 1st deal, stopping a foreclosure is a couple levels tougher, and even the best investors give themselves alot more time than 10 days start to finish.

4) You'll need a title search to find out what liens/loans are on it. You can use the home's foreclosure notice to find out which one is bad, and how much is owed. But, you may be shocked to find out she owes more than $50K on it. Most mortgages have interest attached, and all you pay IS interest the 1st 8 years of a 30-year mortgage. You may find out this $75K loan that's about to be called in is closer to $80K owed when you add in interest, fees, penalties of all shapes and sizes, etc.

5) Living in a house/liking a house does NOT determine it's value. A house is worth what the comp's dictate it is, and most houses do NOT sell for what they're worth, in ANY market. A Mickey Mouse balloon might be $15 at DisneyWorld, that doesn't mean it's worth that much.

6) About the buyers list, start right now! Put "buyers list" in Dean's search bar and read the articles that come up to learn how to do it.

7) A buyers list won't help you in this situation anyways. Usually your buyers list is to find investors who will pay all cash and close quick. Pre-foreclosures usually need a different strategy, like "subject to" or "sandwich leasing." What you need is a tenants list. Refer to step 6 to learn how to get those as well.

Don't expect to get this deal, but work to get it anyways. It will teach you alot, even if you come up short or late.

9) Prepare for the worst, but work for the best. If you're 10 days away from being foreclosed, you're 70 days (at most) from being evicted, depending on your state. Some do it in 7 days, most do it somewhere in between. You don't want to try to move out in a day because you spent all your time and energy trying to make a deal out of this house. Again, not being a jerk, you have to be practical here.

10) If you have to convince or pay the owner to go along with you, forget it, and move on to the next one. She should already see the writing on the wall, and be more than happy to save her credit. If she's not, you shouldn't have to pay or convince her to protect herself. If you do, it's just chasing good money after bad.

Hope this helps, and I wish you the best of luck no matter what you decide...

Some red flags came up when I read this. Why is the house being foreclosed on if you are renting the place? Your rent should cover the cost of the mortgage. Either this person didn't go over their numbers properly, or they are irresponsibly spending the rent money on something else.

To find out what is owed, you can really only find that out if the owner wants you to. So you'll have to ask them. I don't think any bank is willing to give you that information.

To find out what it's worth, you can find your own QUICK comps, go to totalviewrealestate.com and type in the address. For more accurate comps, I would suggest getting a CMA from a Realtor, but make sure you get Foreclosure comps, you don't want Retail comps unless you don't plan on selling it fast. There are multiple other ways to get comps but these are a few.

Good luck on the deal! But don't get caught up in it, if it doesn't work, then it doesn't work.