Foreclosures Article


When investors or seminar graduates go and offer a few thousand dollars to the foreclosure victim/seller to 'walk', they do oftentimes walk. 

But sooner or later they wake up and feel used and abused and, depending upon the equity they lost, they have been taking the investors to court and suing them and winning.

With the new laws the foreclosure victim/seller can come back to sue his buyer for up to four years!

Though the investor is supposedly helping the seller, this is not the way judges see this when the investor finds himself in the courtroom as a defendant to the unhappy foreclosure victim/seller.

What has happened as a result of this scenario is that judges will be finding for the plaintive and (according to the new foreclosure laws)
award three times the equity the foreclosure victim/seller lost and or restoring his property back to him.

This places the investor in a precarious position especially if he has sold the property on.

This does not seem the best way to go.

The potential problem that we have here, is if the foreclosure victim/seller could not or has not been making payments during the time he was in foreclosure, and how is he going to be making payments during the year in which the investor owns it?

Now that the investor owns the property, the foreclosure has been halted by the investors purchase, the only resort the investor has is eviction.

Good luck on trying to evict your foreclosure victim/seller tenant for nonpayment of rent when he was the very same foreclosure victim/seller which you took 'advantage of' (his viewpoint and maybe the judges) and took all or part of his equity.

We have this problem completely solved In our
New Foreclosures Course.

The other popular method of foreclosure purchases, is to stop the foreclosure by buying the property as above. 

But this time foreclosure victim/seller to 'walk' with ust a few thousand dollars, the investor, when he has purchased it, leases back the property to the seller for usually one year.

The intent here is to let the foreclosure victim/seller stay in his home, lease option (rent to own) the property to him and then he will have the option  to purchase his home in one year.

On the surface this sounds good, but continue reading.