| |
| |
|
Real Estate |
|
|
|
Articles and Information about Real EstateNetFinancial | Institutions | LoansColleges and Universities | Search Engines Forclosure And The Durrett Rule
It's probably happened to you... Folks learn that you know something about real estate investing and they eagerly ask you about buying foreclosure property. The general assumption is that they can buy a beautiful home at a deep discount at a foreclosure auction. Their smiles fade when you explain that they will have to pay cash on the spot and they must be able to research title to be sure they aren't buying trouble. But wait... there's more... There is also a little something called the "Durrett Rule". Oh boy... can that be a like a knife in the back. For example: You spend the time and effort scouting out a nice home scheduled for foreclosure auction. You search title and scare up the cash to have in your pocket when you go to the sale. Hurray... You have the winning bid at the foreclosure sale and buy the home at about a 40% discount to market value. After doing your happy dance you spend the next few weeks doing needed fix up. Then you find a renter and settle back to collect rents for the next few years. But wait! Who's that knocking on the door. Why it's a nice man who says he is taking the home away from you. Who is this pretentious devil? He is the dreaded... BANKRUPTCY TRUSTEE! Shortly after the original homeowner lost his house he filed for bankruptcy. The wheels of the bankruptcy court grind slowly and the trustee just recently learned that the house had been sold at the auction. And... The foreclosed upon owner had a nice hunk of equity in the home when he lost it. Uh oh.. get ready for this. It is trustee's job to capture that equity so it can be distributed among the bankrupt home owner's creditors. Can he do that? Yes! Under the power granted by The Durrett Rule the trustee can show you the door and claim the home in the name of the bankruptcy court. You, see the bankruptcy court has more power than Edison Electric. It can do about anything it wants when it comes to assets and creditors. Oh sure, months later, after a battle in the bankruptcy court, you should be able to recover the money you paid for the home. Of course... no interest is paid on the money for the time it is tied up in court and you will not be able to recover the attorney fees needed to get your money back. Buying at foreclosure sales is not for sissies! Stick to an easy money tactic... buy in the preforeclosure period with this system. About The Author - Mark Walters is an investors and author. His published works can be found at http://www.CashFlowInstitute.com
MORE RESOURCES:
Real-Estate - Google News |
|
|
|
RELATED ARTICLES
What Can I Realistically Earn In A Lease Purchase Business? If you're looking at Lease Purchasing as a business, you'll obviously want to earn much more than the $20,000 per year in our "How To Give Yourself A $20,000/Year Raise Without Asking Your Boss" article. Let's review the numbers from that article: For every 100 calls Sue makes on For Sale By Owner property, she either speaks with or leaves messages for about 60%. Advantages to Buying or Owning a Condominium Condos have become an increasingly attractive home ownership option for singles, young couples, families and retired couples (that's just about everybody!). A condo is a viable option for anyone who wants to own a home without the worry of repairs, maintenance and dreaded chores like snow shoveling. Where Does Your Real Estate Commission Fee Go - Why is The Commission so HIGH? Many who have bought and sold properties through Realtors numerous times; even many real estate agents themselves, don't know where the commission money goes. After all, when a property sells for hundreds of thousands of dollars and the commission is tens of thousands of dollars, it seems like there is a terrific amount of money charged as commission -- and there is. Small Town Stone House with a Long History As a native Midwesterner, the first thing I noticed when moving to the Delaware Valley was the enormous number of fieldstone houses. Frankly, I'd never seen such a thing. Real Estate Investing - "The Neighborhood Factor" Real estate investing can be a dream career when the process of buying and selling is mastered. The biggest challenge in real estate investing is not the money to get started or the availability of the product. Real Estate Investing - Basis Explained Our complex IRS code requires that your, as a real estate investor,accurately calculate your "basis" in investment property when reportinga gain or loss on a tax return.Your monetary gain or loss when you sell investment property is determined by comparing the sale price to the adjusted basis in the property. How to Build Your Dream Home Building your dream home is a process that takes some individuals a lifetime. Hardly anyone knows early in life what exactly constitutes "dream home" in her eyes. How to Prepare Yourself for Owning a Dual Purpose Second Home If you are thinking about buying a second home, you are not alone. A 1995 survey by the American Resort Development Association found that 60 percent of households surveyed feel they have a likely chance of purchasing a recreational property in the next ten years, a figure that rose 30% from the survey in 1990. How Come No One Told Us About This When We Were Buying a Home? Development, it's bound to happen.Simply because there is a large open field, or the property you're looking at borders woods, doesn't mean it will or can stay that way in the future. What is a Foreclosure? A foreclosure is an action taken against a property owner by seizure of his/her real property. It can be for many reasons. How I Became a Real Estate Investor Recently I closed on the sale of two homes. They were located about a mile apart and had comparable market values. Should You Allow Buyer To Rent During Closing? It's not uncommon for an investor to sell a house and have the buyer request the right to rent and occupy the property while the closing is being completed.You're a bad guy if you refuse and often in hot water of you agree. Real Estate Investment - One Simple Formula I saw the ads in our small-town newspaper for years before I realized exactly what was going on. They were always the same: A house for sale with 5% down and payments of 1% of the purchase price. Maltas Market Battle With new destinations such as Bulgaria, Slovenia and Croatia offering two and three bedroom apartments for sale for £50,000, there was concern last year among some Malta estate agents that 2005 could see a drop in the number of UK and Irish buyers choosing to buy a holiday home on the island.With good all year round temperatures enticing many buyers for the winter months as well as the summer, driving on the left and a warm welcome from the local population who nearly all speak English, Malta has been popular for some years among overseas property buyers. Finding the Right Real Estate Agent:: A Guide for Seniors When considering buying or selling a home, seniors have a special set of needs that may not apply to others in the real estate market. The first time home buyer has a certain set of needs. Appraisal or Home Inspection? People sometimes confuse a home inspection and an appraisal when they are in the process of buying a home.Most mortgage applications involve an appraisal, which can be a physical inspection of the property plus a written analysis of similar homes that have recently sold in the area. FSBO: For Sale By Owners Chapter One She reached the phone on its second ring. "This is Tami!" She confidently answered. Selling Houses: Design Psychology Works! I've taught the concepts of Design Psychology for many years, and I know how much it can empower a person, and allow them to create a fabulous home that sustains their emotions. Since it's based on science, I know that Design Psychology is effective at turning plain spaces into happy places. 3 Top Real Estate Investing Methods for Maximum Wealth Real Estate investing can be used to gain wealth in three major ways -1. Long-term Real Estate investing is most often utilized using appreciation as a planning tool. The Pros and Cons Of Hiring A Real Estate Lawyer You're travelling in a foreign country and you get arrested for something that you didn't even know was against the law. The potential fine is huge, more than you earn in 10 years.
|
|
Currency Trading | Investing | Leadership | Negoatiation | Real Estate | Stocks and Mutual Funds | Taxes home | NetFinancial | Institutions | Loans | Colleges and Universities | site map Search Engines | EZmatic | 0pops | GetSonic | TrafficFish | Health |
| © 2006 |
