How to Beat the Odds and Find Profits in Philadelphia Real Estate
Philadelphia is a city of endless opportunities for the savvy real estate investor. You must know how to find the deals, separate the good from the great, and get to it first.
The first thing that many investors do is look to foreclosures. Foreclosures are homes that have been repossessed because their previous owners were not able to meet their financial obligations, and the bank took its payment in brick and wood. They then sell the homes at a lower cost than can be found on the open market in Philadelphia in an attempt to recoup their investment. This sounds like a marvelous idea to the average homebuyer. There are several problems with this, however.
First, the fact that the buyer is buying directly from the bank puts the buyer at a huge disadvantage. Banks are impersonal, patient, and unmotivated, and more than anything are looking to regain as much money as possible. This means that the prices on these homes will not be rock-bottom, regardless of their claims.
The other problem is that these homes are available to anyone with the initiative to check out the listings of foreclosure houses or attend a foreclosure auction, where multiple foreclosure homes will be sold to the highest bidder. Because these banks want the most money for their Philadelphia foreclosure home, they will advertise to the public every listing, and the intense competition will make the price soar and the equity margin decrease.
Pre-foreclosures, on the other hand, provide an amazing alternative to this previous method. Pre-foreclosure homes are homes that will soon be foreclosed upon if the owner cannot find a way to pay their debt. However, as they have not yet made it to the foreclosure market, they are still owned by the individual rather than the bank. This means that you are dealing with a person, and normally one who is very motivated to quickly sell the house they can no longer afford. This places the two of you in what is potentially a highly beneficial situation for both parties. Since they are in a rush to get rid of their home, you will probably have a chance to purchase the pre-foreclosure house at a price much lower than if you waited for the bank to take control of it.
You can access a list of current pre-foreclosure leads here. By becoming a member of MyHouseDeals.com, you'll have access to new leads every day as they come in. Each new property added to the list comes with full descriptions, value and repair estimates, and full contact information for the seller. That's right. We do all of the leg work for you, so all you have to do is focus on establishing and expanding your investing. Become a member for free today by clicking the button below!