Starting out in pre-foreclosure

[Danny Day]

Looking to start out in Pre-foreclosure short selling. I'm going to get a front site up and start posting ads in my area. I had a few questions regarding pre-foreclosure.

I've been reading some books on the subject, and one of the books says you can do all the transactions without a broker (and save some $$$). How do you do a transaction like this without a realtor (buying the property from the owner)?

I know due diligence is crucial in anything dealing with foreclosures. Do you recommend a way to check for liens on the property? Title company?

Also last but not least, could someone explain to me the pre-foreclosure process (on how people profit).

From what I see for example: Mr. X owns a house worth $180,000. He owes the bank $80,000 on the loan. He is behind on his mortgage payments, less than 90 days and will soon go into foreclosure. I offer to buy the house for $80,000 (assuming there is a clean title) and take over his mortgage. I invest some quick cash in the house, and turn around and sell for $195,000.

Thanks in advance

Danny

[Dale Osborn]

Competition is high in this market and many of the home owners are so frustrated by the sharks circling their home that they would rather walk away from the home than to deal with any of these sharks.