Secrets of buying properties in preforeclosure

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These really aren't "secrets" per se, they've been around for as long as I've been buying properties in pre-foreclosure, some 25 years. but, here is what gets you started.

There is a very big difference between pre-foreclosure and foreclosure. Depending on the state that the property is in, some states have what is called a Notice of Default which gets sent to the homeowner before the Notice of Foreclosure. The NOD gives the owner a chance to make up the payments before they get a sale date set. The two are treated very differently by the lender by law. Other states foreclose through the courts. Some have a redemption period after the sale has happened.

Confused yet? That's because it is handled state by state and generally falls in "Deeds of Trust" out west and the east coast is generally "Mortgages".

If this is confusing you should really work with someone who understands the process before putting any money down on preforeclosures.

If this apeals to you, let me know.