When it comes to buying properties bank owned there are several factors to consider.
Experienced property investors exhibit different behaviors when it comes to acquiring new investment properties for their portfolios.
Here are just a few ideas I’d like to share with you.
1. Experienced property investors know what they’re looking for
If you haven’t figured it out by now, bank owned properties are here to stay – at least for the next several years. The real estate bubble in the United States and in many other parts of the world triggered a foreclosure tidal wave that has forced many banks to buy back their owned houses at local Sheriff sales. Inventories of properties bank owned will continue to increase and as supplies swell, overall prices should begin to fall.
Even though many experienced investors have made a fortune targeting pre-foreclosures, these bank foreclosed homes will become a part of the acquisition mix. Just realize that as market conditions evolve, you must adapt. If you don’t, you’ll fail to capitalize on these incredible buying opportunities.
2. Experienced property investors always have access to the most reliable market information
Take the time to have a local real estate agent set you up on their email notification lists. So whenever new properties are listed in the MLS (multiple listings service), you will receive an email notification alerting you to these new investment opportunities.
As an experienced property investor, make sure you’ve properly defined your acquisition criteria for these properties bank owned. For example, you may want to target 3 bedroom 2 bath single family houses that are at least 2,000 square feet. Also, the listed price could be no more than $50/square foot.
So anytime a new property came onto the market that matched your investment criteria, you would know about it.
3. Experienced property investors beat the competition to the punch
I’m a morning person, so I’m always prowling around at 5 A.M. I believe that adopting this habit is critical to your development as a real estate entrepreneur.
Wake up early and review each MLS property that comes onto the market that matches your investment criteria. Once you get the hang of this, this activity shouldn’t take longer than 10-15 minutes each morning. Just make searching for new investment opportunity a part of your morning routine. You won’t be sorry.
With all this said about buying bank owned properties, nothing is more more important than implementing powerful systems in your business that can automate a large part of the “grunt work” for you. Adding the right systems to your real estate investing business will put you firmly on the road to financial independence. If you want to learn more about how to implement systems into your business, check out “Concrete Foundation For Real Estate Entrepreneurs.”
