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Article Title: Benefits Of Buying Pre Foreclosure
Author: Jason Dodge
Category: Real Estate, Wealth Building, Buying
Word Count: 497
Keywords: buying pre Foreclosure,Pre foreclosure properties, real estate 
investment
Author's Email Address: [email protected]
Article Source: http://www.articlemarketer.com
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Every buyer desiring to buy a home feels the need to take a housing loan of 
some amount and that is inevitable. After paying your monthly installments 
regularly, due to some reason, if you are unable to continue paying the 
installments further, you become a defaulter. 

At this point the bank gives you considerable time to repay the installments. 
But even after that period, if you are unable to pay, your property is put in 
pre foreclosure which is a prior stage to the bank putting the property for 
auction. However it takes a long time to reach the pre foreclosure state as 
ample time is given by the bank to repay the due amount. 

I know most of you are not aware of what a pre foreclosure means. A property 
that is in a phase prior to a bank or financial institution taking control of 
or repossessing it is called a pre foreclosure property. However till this 
stage/phase the owner has full rights on his/her property, till the bank takes 
over. 

Pre foreclosure is a stage wherein the house owner can consider selling his/her 
property to a third party and pay the bank the outstanding amount while keeping 
the remaining amount for him/her. As a Buyer of property, this is the right 
stage to approach the house owner and crack a deal. There are number of 
advantages of buying a property at this stage. 

One of the main advantages is the property price. The property price can reduce 
to 30% to 50% of the market value, since time is a constraint for the house 
owner and he/she would like to close the deal early. In this way he or she is 
not only avoiding foreclosures but also can retain some cash for him/her. This 
would not be the case in the event of the bank claiming his/her property. 

>From the buyers perspective, you get to deal with the house owner directly and 
>closing a pre foreclosure deal lies in your hands. There is no competition to 
>you when you compare this situation with a property in foreclosure and 
>auctioning stage. Before negotiating you can keep your funds ready as it can 
>strengthen your position to negotiate. 

Here you can be sure of cracking the deal within a few days while auctions and 
foreclosure can take a long time till you get the possession of the property. 
Many properties in the pre foreclosure stage are listed in, newspapers, 
magazines and online sites. You can also find about them by making calls to 
various banks.

No matter what type of investor you are whether a home buyer or a real estate 
investor, you have an equal chance of acquiring pre foreclosure properties 
unlike as in foreclosure auctions. Buying pre foreclosure is one of the most 
lucrative methods for making some huge profits. So gear up and start making 
your list of pre foreclosure properties, you could soon be an owner of a hot 
property by paying half the price.

Jason Dodge has been investing in real estate since the early 90's. He 
specializes in getting money for investing and recommend the free training at 
http://www.InvestSteps.com
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