So we shall elucidate five myths and truths about investing in them.Myth 1: Distressed Properties Are Always Money PitsMost people think that distressed properties require major renovations, which wipe out profit returns.

When you tell them they will only get paid when the loan closes, they will disappear.If required, the only money you should ever send to the lender is for a credit check.

No personal income or tax returns are required.

It's a very expensive repair (ballpark $15,000) and the cost depends on how long the sewer line is.A lot of municipalities here require dye tests and occupancy inspections.

Start by getting pre-approved for a loan, ensuring your credit score, debt-to-income ratio, and finances meet lender requirements.

You aren't required to offer a loan mod prior to foreclosure.

I have noticed quite a few posters lately that are requesting help, opinions, prices and information on their properties where a good answer would require either the square footage, the location or both....and they provide neither.

Call the registrar and ask. 1-800 321-2752 https://www.cslb.ca.gov/newsletter/2010-summer/page9.htmThe current text of ab968 requires FULL disclosure with copies of all contracts, permits and warranties within the two year window.

You could also use a Fannie May Home style renovation loan which a conventional loan and require 5% down vs.

Most if not all of these properties require SIGNIFICANT cap ex rehabs and conventional financing won't touch them; you'd likely need to go the hard money route at 10-12%, 2 points, 12-18mon turn around.