Should I take out a loan for foreclosed property?

[Devante Charles]

My plan like probably any beginner investor was to take out a loan for a relatively cheap piece of property. Should I be sure there's no liens or anything on the property before going through with this? Or is this too risky all together for someone starting out? For the sake of simplicity, say the property was 40k, and I took out a loan of 50k which would cover the purchase and rehab and then I flipped it. Would that be a good plan?

[Theresa Harris]

Look at all of the costs associated with flipping-closing costs, financing, realtor fees, etc.  Your lawyer or whoever does the paperwork for the purchase should check that there are no liens on the property.