Well here is a strategy that will work no matter what your credit is like however it will take some money. This will not work on every foreclosure but it is something to keep in mind. Let’s say you find some one behind on their payments and getting close to foreclosure or in foreclosure. Then you pay to catch them up and have them sell the home to you but keep their financing in place. You may ask is the current lender ok with this? Most likely not and they will have a due on sale clause in their contract with the people you bought from. However even in good times they don’t want the house back they just want the payments made on time. I have never heard of a lender foreclosing for this if payments are caught up and on time. But keep in mind they could. Nothing ventured nothing gained. However this is a very low risk. Why would someone allow you to do this? Well contrary to popular opinion most people want to pay people they owe and a foreclosure on your credit is very bad and stays on for along time. Just because you give a house back does not make you clear of the responsibility. If they sell it for less then you owe then you are still responsible for the difference. Something to think about when it comes to government loan student loans used to not even be collected but now they will take any tax refund you get. So it is easier than you may think. You have two different ways to approach this resale or rent. If you resale make sure that you have enough money to make repairs and payments until it sales then sell it and walk away. The other option is to rent it out just make sure it will cash flow well enough to cover all your needs in your plan. Keep in mind the details of their financing like is it an ARM and when will it adjust. This is a very good strategy in this day and time.

I have been in the Real Estate business for over 20 years. I have had countless conversations and looked over lots of plans and I know the number one reason people fail in Real Estate investing. It is because they never start. I am not Donald Trump but I have made money in Real Estate in several different ways. For me some were better and some were worse. Look I am not telling you to just go out there and buy the first house you drive by for full price. What I am saying is you should write down a plan for investing in Real Estate and get started. The old saying holds true "Plan your work and work your Plan" then run your plan by people who's advice you trust and understand that you are asking for people to point out problems so don't let them discourage you just plan to deal with the issues they bring up. For instance what will you do if it burns down? Add buying insurance to your plan. I know this is a simple example but the exercise is the same. Donald Trump in his first book said "protect the downside and the upside will take care of itself" that is very true. Just ask your self if the worst happened could I deal with it? If the answer is yes then do the deal if it is no then change the deal or find another deal. The point of this post is stop talking about making money in Real Estate and take action.