Buying Foreclosures, REOs. Short Sales, FSBO, MLS and More

Hello

Hello

What does it mean for a BANK to be acting as "CUSTODIAN" of a property.

Who actually owns the property? Who does a potential BUYER negotate with.

Thanks!

-this is crucial information for someone that is looking to invest in PRE-FORECLOSURES, knowing the difference between these 2 very similar but very different terms, could end up saving your butt in a possible deal:

ASSUMING EXISTING LOAN: when buyers assume an existing mortgage, they sign an assumption agreement with the lender that makes them legally responsible for repayment for the loan.

BUYING SUBJECT TO: all the buyer is really doing is taking over the loan payments without being personally liable for repayment of the promissory note.

I know someone is going to say "you can find this info in such and such place" and it probably is embedded in the last 5,569 pages I have read, but my mind is in information overload, so be kind !

1. When you buy a REO, when does the Rights to Redemption period start? Is it from date of foreclosure? In my state, redemption period is 365 days...but when does the clock start?

2. Are HUD and VA foreclosures also subject to Rights of Redemption?

3. When you purchase one of the above, do you get a deed at closing or do you receive once the Rights to Redemption is up?

ok so i found a good house i think; its a 1,272sqf house asking $89,200. 3 bedrooms 2 bath. its a VA house also. so since im in the army, would that help me out at all? SO. do i contact the agent working the house? this is one of the confusing parts for me. do i tell her i will find a buyer? I just dont know how to start now.do i put an offer on the house and put money down? then write my contract off to somebody else? if this is true would i have to get financing for the house? because i dont know of any banks that would give $89,000 to a 20year old with a part time job.....help please

I'm considering making an offer to lease/option a FSBO property that is vacant because the owner built a new home. Dean talks about making sure the monthly lease is greater than average rents in the area. Why? This may make this deal undesireable because I would have a more difficult time trying to rent the property to someone else (I don't want to live there). Should I keep looking for something I can get at a greater discount? The property next door recently sold (it was a forclosure) for more than the asking price of the one I'm looking at.

Ok this is what keeps me up at night....or close to the sidelines.

lets say you bring home 2k a month
after your PR mortgage and all other bills car...ect.
you have about 300 bucks left at the end of the month.

Now lets say you find that deal buy it for 200k put in 20k, ARV is 260k. (if you sold now you would break even at best) But in 2 years you know it will go back to the mid 300k's

You fix, hold and rent.....
ahhh but you cant find a renter...and you obviously cant afford the investment house mortgage along with your personal mort, and bills.

I'm just getting started with real estate and have been searching the internet, including forclosurealert.com,for possible interesting properties. I've found a couple that interest me that are in foreclosure or are preforclosures, but I'm unsure as to what to do next (I'm looking to either buy for rental or possibly to resell). I've read Dean's book at least twice, but still unsure. Anyone know 4closurealert.com well and can answer a few questions? There's a lot of info there, but the terminology is still new to me.

I have just looked at an REO foreclosure property with a big problem Toxic Black Mold in the basement. Will this impact the resale value of the home??