You are a distressed property specialist. Sellers are under pressure to sell: Find out sellers’ reasons for selling and decide on your negotiation strategy. Negotiate the price and other terms, and then focus on non-monetary benefits that you can offer to reduce the price further.

Bottom line in foreclosure business: Profit.

Instant profit when bought under market value. Try to buy 20-25 percent under the market value of a property that has similar features in the neighborhood.
Add value to improve your profits: Fix it and remodel it.
Materialize profit when selling it.
Lease it (income from rent, appreciation, and tax-savings).
Live in it while you fix it. Save rent money and fix it at your own pace.

Unique Business Opportunity: Make money all the time!

Earn income when the economy is in good shape and people are willing to pay higher prices.
Earn income when the economy is in recession. Some people cannot pay installments. Foreclosures à Plenty of foreclosure properties below market prices.
Rent does not decrease. You can even earn income by leasing in a bad economy.

There are more foreclosures now than ever before!

Why do foreclosures happen?

People overextend themselves. They get 125 percent financing to buy their dream home.
They use their lines of credit and credit card limits to have what they dreamed of.
Changes in bankruptcy laws have simplified bankruptcy procedures.

Flexibility in Time and Money: You don’t need to quit your job. The fixer-upper business is a flexible moneymaking opportunity in foreclosure property buying and selling.

You can do it at your own pace, on the weekends or evenings. If you don’t do it for a week, no problem, just do it the next week.
Buy properties within your price range.
Fix them as your budget allows.
Flip them, or keep them for a continual source of revenue.

Trading your time to stay on the payroll is not the only way to get rich. Working for someone else cannot make you rich!

Motivated Sellers: Lenders (banks, private lenders) holding foreclosure houses are highly motivated to sell because:

They are not in the real estate business and want to get rid of foreclosure properties as soon as possible.
They sell these properties to reduce the amount of their non-performing loans.
They get cash to improve their liquidity ratios in order to meet federal and state requirements.

Foreclosure homes: Neglected properties

Some homeowners experience financial difficulties in paying their installments:

They do not have the funds, time, and/or desire to improve their homes. You (fixer-upper investor) come to the rescue and convert an unattractive home into a beautiful home.
You clearly see your added value and profit from it.
Your neighbors appreciate what you do, so everybody benefits from your work.