Wholesaling Pre Foreclosures

[Jason Brown]

I know a lot of people preach wholesaling pre foreclosures, but I'm worried with default/ lis pendens, that I will get the property under contract, and then the mortgage company will then foreclose during the contract assignment process. What is a way (if any) to avoid this, or are there any work arounds to make sure that you won't lose the property mid assignment. Any help/explanations or corrections would be appreciated as this is newer to me. 

[Nathan Grabau]

You have to be familiar with the foreclosure process in your area. Each state has different laws about the process for foreclosure and how long someone has to catch up their payments before they actually lose possession of the house.

In Colorado, we can require specific performance, so if a seller signs a contract to sell, we can legally force them to sell the property once they go under contract. I am not sure if your state has similar rules, but this could allow you to be willing to get the mortgage current once under contract to stop the foreclosure process. I would consult an attorney on this though to see what recourse you have if someone does not want to sell after you get them out of foreclosure.