The purpose of sending out preforeclosure letters is to inform the owner of the home that you are aware of their pending foreclosure status and that you are interested in helping them.
When writing these letters, however, you must bear in mind that these owners are going through something personal and they are not ready to just part with something so dear to them.
You must sympathize with their situation and inform them that you understand what they are going through and that you are only there to help. Then you should tell them why it would be in their best interest to allow you to help.
Inform them that this would help to save their credit as much as possible because of course it is better to have just lates on their report instead of a foreclosure.
I would also advise that you personalize the letter with their first and last name.
Write to them as if you were talking to a friend.
Send your preforeclosure letters in regular white envelopes and hand write their name and address. This shows them that the letter is coming from a real person and not some big company.
If you follow these procedures, you should have no problem getting many responses which should lead to deals.
Interesting thoughts on American foreclosure. We’re lucky it’s not that bad over here in the UK. Our shortage of houses supply has always kept things together a bit!
How to Make Money Buying Foreclosures? Today’s foreclosure market is absolutely record setting. Recent results have shown that foreclosures have increased 93% compared to last year. his is good news for real estate investors for two reasons. 1) A majority of these properties used to be on the regular market before they went into foreclosure, soaking up buyer interest and padding the inventory numbers, thus the foreclosure process will remove them from the pool, and 2) more foreclosures equals more deals. Not only are there more deals to be had, due to foreclosures, but there are less investors to take advantage of these deals. As I mentioned in another article, How to Still Make Money in Real Estate, real estate investors are bailing out on the real estate market left and right. Literally fleeing, with their hair on fire. That leaves the rest of us here to laugh and collect the profits. So, what am I saying? I’m saying it’s good news, people. Great news. More foreclosures, better deals, and less people buying them. The perfect storm.
I wish more people would write blogs like this that are actually fun to read. With all the fluff floating around on the net, it is rare to read a blog like yours instead.
I’m very up in the air about investing in a foreclosed property. On one hand it seems like such a steal, but on the other hand, I feel hesitant – like I probably ought to wait for a few months to see how the market pans out. I could really use some expert opinions on the topic
How do we begin to predict what the housing market will do? No offense, but everyone was wrong about it just a fewyears ago, so why do we think it will be better in the future? Just because housing is better priced and rates are lower? Unemployment is still a serious problem. Not to mention, the debt our country seems to accumulate every day. I personally think renting is the best option right now.