Buying Foreclosures - Knowing Why Helps You Buy

One big potential deal-killer in buying foreclosures is the homeowner. If the homeowner does not trust you, buying their home (even at a foreclosure auction) can become a greater challenge. To prevent this setback, you need to build trust with the owner -- and building trust requires you understand where they are coming from.

People don't stop paying their mortgage because they don't want to pay, but rather because of factors that afflict everyone at some point in time. Knowing why the owner is losing their home can help you connect with them and gain their trust.

Three Main Reasons People Lose Their Homes

Job Loss - Due to economic conditions employers are having to release great employees because of many factors and people do not have the reserves to withstand many months without a paycheck. More importantly, although some are getting employment within a few months, the pay rate is substantially less.

Divorce - In 1999-2000 this was the leading contributor to the foreclosure rate. Since 2001, the rate has not decreased but job loss has doubled in some parts of the country.

Bad Health - People fall ill and make a choice between making a mortgage payment or paying doctor bills. In some people's minds, the latter easily takes precedence over everything.

Armed with this understanding, you will be much more likely to gain the trust of the homeowner when you meet them, than going into the meeting blind.

ABOUT THE AUTHOR:

George Roddy, Sr, owner of Foreclosure Listing Service, Inc., has provided timely, accurate, useful data regarding foreclosure real estate in Texas since 1964.

Learn about their "How to Buy" workshops at their Foreclosure Listing website.

MORE RESOURCES:

Realtors Say Foreigners Hold Key to Real Estate Revival - FOXNews

Investment Regimes for Indian Real Estate Sector Explored - MarketWatch

Real Estate Market Slumps, Showhomes Soars - MarketWatch

Moody#39;s: Commercial real estate prices rise - CNNMoney.com

Architects see drop in real estate design contracts - Los Angeles Times

Target shareholder revises real estate proposal - The Associated Press

table border=0 width= valign=top cellpadding=2 cellspacing=7trtd width=80 align=center valign=topfont style=font-size:85%;font-family:arial,sans-serifa href=http://news.google.com/news/url?sa=Tct=us/5i-0fd=Rurl=http://www.reuters.com/article/hotStocksNews/idUSTRE4AI5MH20081119cid=1271977767ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNEsFBcq28HMmX5c5M8FeeUt1avlkAimg src=http://news.google.com/news?imgefp=XVuA8yiQ2LIJimgurl=www.reuters.com/resources/r/%3Fm%3D02%26d%3D20081119%26t%3D2%26i%3D6876351%26w%3D192%26r%3D2008-11-19T193234Z_01_BTRE4AI1BTF00_RTROPTP_0_TARGET width=80 height=50 alt= border=1brfont size=-2Reuters/font/a/font/tdtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://news.google.com/news/url?sa=Tct=us/5-0fd=Rurl=http://www.google.com/hostednews/ap/article/ALeqM5izZJX0Q9xiHBM5Mg3-Ee1B6sI8wQD94I9R8O0cid=1271977767ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNGjWgu1lES0PqdvdK5NWaJijp4HjQTarget shareholder revises breal estate/b proposal/abrfont size=-1font color=#6f6f6fThe Associated Pressnbsp;-/font nobr15 hours ago/nobr/fontbrfont size=-1Ackman unveiled a plan last month that involves creating a breal estate/b investment trust that would take ownership of the land Target owns underneath its b.../b/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/5-1fd=Rurl=http://www.bizjournals.com/twincities/stories/2008/11/17/daily25.htmlcid=1271977767ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNHaxKgPExo3qAWU4RZee8jduxBy6APershing revises Target land spin-off proposal/a font size=-1 color=#6f6f6fnobrBizjournals.com/nobr/font/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/5-2fd=Rurl=http://www.reuters.com/article/americasDealsNews/idUSTRE4AH7PD20081118cid=1271977767ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNFAq_MT3r0CUpe5K5t3RHs-x_hYZgPershing#39;s revised Target proposal out Wednesday/a font size=-1 color=#6f6f6fnobrReuters/nobr/font/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/5-3fd=Rurl=http://blogs.reuters.com/reuters-dealzone/2008/11/19/troubled-retailerackman-5-bln-reit-ipo/cid=1271977767ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNFYgmTC-_DCXHfzHjdbehqs2s0PngTroubled retailer+Ackman= $5 bln REIT IPO?/a font size=-1 color=#6f6f6fnobrReuters UK/nobr/font/fontbrfont size=-1 class=pa href=http://news.google.com/news/url?sa=Tct=us/5-4fd=Rurl=http://www.guardian.co.uk/business/feedarticle/8044333cid=1271977767ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNHtXgSIeoco1jaNsHM76nisUkx6cAnobrguardian.co.uk/nobr/anbsp;- a href=http://news.google.com/news/url?sa=Tct=us/5-5fd=Rurl=http://leapsinvestor.com/market-news/ackman-target-shares-worth-37share-726/cid=1271977767ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNFoTiVKUisADUtvbFbPc0011THpHwnobrLEAPSInvestor.com/nobr/a/fontbr/font class=p size=-1a class=p href=http://news.google.com/news?sourceid=navclientie=ISO-8859-1rls=GGLG,GGLG:2005-22,GGLG:enncl=1271977767hl=ennobrall 131 news articles/nobr/a/font/div/font/td/tr/table

E-House Reports Third Quarter 2008 Results - MarketWatch

UPDATE 1-Dubai real estate suffers as distressed sales rise - Reuters

Artis Real Estate Investment Trust announces monthly cash distribution - FOXBusiness

table border=0 width= valign=top cellpadding=2 cellspacing=7trtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://news.google.com/news/url?sa=Tct=us/8-0fd=Rurl=http://www.foxbusiness.com/story/markets/industries/finance/artis-real-estate-investment-trust-announces-monthly-cash-distribution-319904495/cid=1272287796ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNE7NIzY4-2OUiUDwIcQZNDcJ1X9cAArtis bReal Estate/b Investment Trust announces monthly cash distribution/abrfont size=-1font color=#6f6f6fFOXBusinessnbsp;-/font nobr9 hours ago/nobr/fontbrfont size=-1Artis is a growth-oriented breal estate/b investment trust focused exclusively on commercial properties located in primary and growing secondary markets in b.../b/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/8-1fd=Rurl=http://businessmirror.com.ph/index.php%3Foption%3Dcom_content%26view%3Darticle%26id%3D2192:amid-global-economic-slowdown-investors-are-well-advised-to-train-their-sights-on-real-estate-%26catid%3D47:propertiescid=1272287796ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNEguml0NUayN1EBd7uruSzKYvN0yw‘Amid global economic slowdown, investors are well-advised to b.../b/a font size=-1 color=#6f6f6fnobrBusiness Mirror/nobr/font/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/8-2fd=Rurl=http://www.newswire.ca/en/releases/archive/November2008/19/c2246.htmlcid=1272287796ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNF1RekAHdodpm2uSFWTr31bLD4-9ACrombie REIT announces monthly distribution/a font size=-1 color=#6f6f6fnobrCanada NewsWire (press release)/nobr/font/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/8-3fd=Rurl=http://www.foxbusiness.com/story/markets/industries/finance/investors-real-estate-trust-announces-increase-regular-quarterly-common-share-1154743513/cid=1272287796ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNHKcYaFxGNFGbgqzz4brvaXmJTcYAInvestors bReal Estate/b Trust Announces Increase in Regular b.../b/a font size=-1 color=#6f6f6fnobrFOXBusiness/nobr/font/fontbrfont size=-1 class=pa href=http://news.google.com/news/url?sa=Tct=us/8-4fd=Rurl=http://www.foxbusiness.com/story/markets/industries/finance/holloway-lodging-real-estate-investment-trust-announces-monthly-distribution-1482787386/cid=1272287796ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNF4udrN2Xl4jdlXP02YTB7rwaJNLAnobrFOXBusiness/nobr/a/fontbr/font class=p size=-1a class=p href=http://news.google.com/news?sourceid=navclientie=ISO-8859-1rls=GGLG,GGLG:2005-22,GGLG:enncl=1272287796hl=ennobrall 24 news articles/nobr/a/font/div/font/td/tr/table

Commercial Real Estate Debt Index Plummets - Wall Street Journal

table border=0 width= valign=top cellpadding=2 cellspacing=7trtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://news.google.com/news/url?sa=Tct=us/9-0fd=Rurl=http://online.wsj.com/article/SB122703851606838297.html%3Fmod%3Dgooglenews_wsjcid=1271977795ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNEggBgrdm8z7IseHPBBddUT1NcQngCommercial bReal Estate/b Debt Index Plummets/abrfont size=-1font color=#6f6f6fWall Street Journalnbsp;-/font nobrNov 18, 2008/nobr/fontbrfont size=-1By PRABHA NATARAJAN WASHINGTON -- A commercial breal estate/b debt index plummeted Tuesday after a Credit Suisse research report warned that two loans included b.../b/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/9-1fd=Rurl=http://www.reuters.com/article/bondsNews/idUSN1933428520081119cid=1271977795ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNGao1vQh5sBKMw-_Upx-canbt0VgQUPDATE 1-Economy, TARP conspire against commercial mortgages/a font size=-1 color=#6f6f6fnobrReuters/nobr/font/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/9-2fd=Rurl=http://www.bloomberg.com/apps/news%3Fpid%3D20601087%26sid%3Da7v3wNC8x9WA%26refer%3Dhomecid=1271977795ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNEENL4iWQJWhdl-XQQLef_B2koIGgWestin, Promenade Commercial Mortgages Near Default (Update2)/a font size=-1 color=#6f6f6fnobrBloomberg/nobr/font/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/9-3fd=Rurl=http://www.reuters.com/article/marketsNews/idUSN1826572220081118cid=1271977795ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNGVyNMxjRC62v5sj1fQvpFxXTEctgUPDATE 1-Big CMBS loans seen near default, index yields soar/a font size=-1 color=#6f6f6fnobrReuters/nobr/font/fontbrfont size=-1 class=pa href=http://news.google.com/news/url?sa=Tct=us/9-4fd=Rurl=http://online.wsj.com/article/SB122703851606838297.html%3Fmod%3Dspecial_page_campaign2008_mostpopcid=1271977795ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNHcbehsizhZWM8DDCCCZ4GExoHN5QnobrWall Street Journal/nobr/anbsp;- a href=http://news.google.com/news/url?sa=Tct=us/9-5fd=Rurl=http://www.bloomberg.com/apps/news%3Fpid%3D20601087%26sid%3Da0GR3cE_UyEE%26refer%3Dhomecid=1271977795ei=W3ElSfOvHo3I9ASp3-29AQusg=AFQjCNHYtJ-vcNxHzeCEPohe45R97PNF_wnobrBloomberg/nobr/a/fontbr/font class=p size=-1a class=p href=http://news.google.com/news?sourceid=navclientie=ISO-8859-1rls=GGLG,GGLG:2005-22,GGLG:enncl=1271977795hl=ennobrall 31 news articles/nobr/a/font/div/font/td/tr/table

Real-Estate - Google News

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