Foreclosure Investing

[Account Closed]

I was wondering if anyone has ever done this? Meet with a Seller in foreclosure who is about 6 months behind on their payments. Assume he has adequate equity so that you will not need to try a short sale. Make a deal with him to buy his house. Contact his lender and negotiate a forebearance on the owner's behalf to spread out the back payments and fees over the next 24-36 months. Then buy the house sub-to and start making the payments. The Seller of course has to leave. If there was enough equity you could even agree to pay him some portion of his equity now or over time, when you sell it in the future. Has anyone ever tried this process? I don't remember hearing of this strategy before, even though it is a simple plan. Thanks, Mike