0 money down on foreclosures

I had that problem at first as well.. This is what me and my agent did on our paper work.. Ernest money is 1000.00 down but due 14 days after seller*Bank/reo* agrees to the contract. My other exit clause i put in is i have 12 days to walk away from the deal if the walk through does not meet my standards. If i break out on the 12th day i do not pay the 1000.00 earnest money, hence the 14th day.

I hope that helps any, i believe having a strong agent that is willing to work with investor needs is very important because his creativity and your make no money down REOs cake.

Now, this only works if you have a buyer though, the reason i ask for 12 days walk though is it gives me access to show the property to the people i want to sell to or even rent too. If i find a buyer i can ether A extend the 12 days for some random reason or B double close the deal with some flash cash.

Thanks David that certainly help because it was starting to get on my nerves a little. I'm trying to lock up the property and assign it to a buyer.

I agree with david31o. I have one foreclosure property last week that I signed a contract with. I ask for a 14 day inspection period to show it to my buyers and if anyone is interested, I will get the $1,000 EMD from them and give it directly to the bank, but the bank only gave me till Friday of last week which I failed. Our realtor worked it out with the bank's realtor and they gave me another extension until July 19 which was yesterday. My buyers can't still make something happen till Weds of this week. Our realtor is again working it out if she could ask for another extension. If it won't get approved, lets proceed to the next and fill up our pipeline. Blessings to all. LA

This will be my 1st foreclosure I ever did. I'm kinda of nervous and excited at the same time. Thanks, I'll keep you guys posted.

Hi everyone. I am working on a foreclosure deal in Reiserstown, MD. that is in the 300k range. The owner is willing to pull the trigger but I need to know how to handle the bank. I have heard that BOA is the most difficult to deal with. Thanks for the great advice here.
I'm also looking for interested buyers of the above deal. This is my first deal of any kind and I'm a bit nervous. All advice is welcome on how to proceed! Thanks.

Ogal

I have had no trouble with BOA. If you buy the property and their mortgage is paid off, they are happy! What does the owner owe? Does he have real equity? If so agree on a price and take the contract to the title company! If it is a short sale that is an entirely different story.

1.What are the actual numbers? ARV determined by comps sold in the last 60 days, comps currently listed and comps under contract. Not from a website!
2.Actual repairs or remodeling needed. From a licensed contractor.
3. How much is owed by the seller? Is there a 2nd, any liens or judgments?
4. How do you plan to make your money and how much does your buyer expect to profit?

Let us know this and we will have a better idea on what you should do.

Michael Mangham
MD Home Acquisitions LLC