One of the best ways to make money in real estate is to find motivated sellers. Being able to identify pre-foreclosure properties will provide you with a steady source of easily identifiable property owners who have a very good reason to sell their property. The next several months and years could provide a record number of opportunities to buy foreclosure properties, at a discount, directly from motivated sellers.
The National Foreclosure Rate Continues to Rise
The economic slowdown, lax lending policies, and rising interest rates are causing homeowners to default on their mortgages. The national foreclosure rate rose 63% over the past 12 months. About 30% of foreclosure inventory is being sold each month, compared to only 17.7% of existing home inventory. The rising interest rate environment will continue to have a negative impact on homeowners who have interest only or adjustable rate mortgages. In the next 18 months, there will be approximately 2 trillion dollars of adjustable rate mortgages that will have to adjust to a fixed rate. With rising interest rates, we will see a rise in foreclosures, which will lead to additional supply of homes on the market. The additional homes on the markets coupled with slowing demand will translate into a continued burst in the real estate foreclosure market.
Americans Continue to Live Beyond Their Means
Look for this trend to continue for the foreseeable future. The main problem is that too many Americans are trying to "keep up with the Jones's." Everyone keeps on trying to live way beyond their means. I cannot tell you how many people that I know that have a great big expensive house, two really nice cars and a super-big flat screen plasma HD-TV. You just know that these people are in debt up to their eyeballs. Everyone loves their credit cards, I actually had a friend tell me that, "Everyone has a lot of debt today...it's ok, you need to get with the times." What the heck is that supposed to mean? The problem with my friend and a lot of other people is that our society encourages people to live beyond their means. Until Americans learn to live a lifestyle that is based on their actual income and not on credit card limits, the number of foreclosures will continue to go up.
How Can I Take Advantage of This Trend?
Finding pre-foreclosure properties is easy. Sites like www.InTheNumbers.com can help you easily identify a steady stream of properties. What you have to do is put the systems in place to help you profit in today's competitive foreclosure market. It will take knowledge and persistence for you to become a success pre-foreclosure investor.
 How Can InTheNumbers Help?
As InTheNumbers evolves, we will do our best to help you become a success foreclosure investor. We are currently updating the site in order to provide you with the resources, education, and tools to help you become a successful foreclosure investor. Check back in mid-November and you will see that we aim to create a website that will become the trusted destination for making smart foreclosure investment decisions. Unlike alternative foreclosure websites, our content will be updated daily through courthouse records and it will be focused on providing real time access to an extensive inventory of properties in each market we serve.
What This All Means
In an industry that is saturated with 'Get Rich Quick' companies and gurus, we will provide real estate investors with a compelling resource that emphasizes integrity above all else. We believe that our technologies, tools, and services have the ability to dramatically change the dynamics of outdated and inefficient processes within the real estate industry. By providing inspiration, education, and up-to-date data, we can help you:
- Understand the foreclosure process
- Save time
- Focus your efforts on finding deals
Mission First...People Always!
In order for us to succeed, we understand that we need our customers to succeed. That is why we will always strive to find new and innovative ways to create value for real estate investors. We understand that when you focus on putting people first, everything else becomes easy. |
