Please read this article and then get George Roddy, Jr’s Recap (bottom)
The term pre-foreclosure, just like it sounds, means that a property or home is about to go into foreclosure. You can get some great values here, before they are seen by the masses looking for foreclosure deals. Prices are generally directly negotiated with the owner, who is motivated to avoid foreclosure.
Pre-foreclosures properties are increasing in numbers every day. Real estate agents understand that investing in pre-foreclosure homes is definitely one of best ways to secure a profit. The timing couldn’t be better then now to get involved in the real estate game because of the sub-prime crisis and other external difficulties facing home owners today.
Depending on your situation buying a pre-foreclosure home can be an improved method of acquiring property rather then buying at an auction. Auctions more often then not require that you have the necessary cash on hand in order to bid. When buying pre-foreclosure homes, however, you don?t necessarily have to have cash on hand.