Second Mortgage

If you wanting to make money in real estate by buying foreclosures, then buying pre-foreclosure is a good idea.

Basically, pre-foreclosure is the period when the buyer is behind on payments, but the lender has yet to auction off the property. There’s a good and bad side to buying in pre-foreclosure, so let’s take a look at both.

When someone is facing foreclosure, they’re often very motivated to get out of the mortgage completely. This gives you a good opportunity to buy the house for little more than the cost of taking over the mortgage payments. Read the rest of this entry »