Making Money With Foreclosure: Cash In Real Estate Trash-Out
I love real estate. Real estate has been a passion of mine since I was a youth. My family had rental property, but I didn’t really understand what it was to be a landlord. Being a home owner is fun but it takes money. A home that doesn’t put money in your pocket and is below water is more of a liability than asset. In real estate, a home is under water when the appraised value is worth less than mortgage debt.
With many homes under water and banks not lending exactly as they should considering the bail outs, many see making money in foreclosures as a thing of the past. I can say with certainty that this is not true. In fact, this time is a moment when there is cash in real estate trash.
What is a Real Estate Trash Out?
First and foremost I must say that I have been a realtor and a licensed general contractor. I know a thing or two about real estate. In this economy I’ve struggled just as many others have. The opportunity for me is that I have been blessed to be exposed to a few things others have not and will not see.
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But to give a clear picture, there are 4 phase to foreclosure process:
- Your Late & Payments Are Advanced
- BPO and Offers of Cash
- Foreclosing on the home with the sheriff
- Real Estate Trash-Out
Short description of the 4 phases:
- Your Late & Payments Are Advanced: At this point, some banks may still work with you to address the late payment. You must contact the proper delinquency department to plead your hardship case. Most mortgages now days are managed by the servicing companies whom just want the cash flows. You must be sure to document all contact and correspondence to be on top of this process. If communication breaks down the process will move to the next phase.
- BPO and Offers of Cash: BPO are broker price opinions. In this phase a realtor has been contacted by the bank whom is moving foreword with the foreclose process. The r
- ealtor in the BPO gives an estimate of the homes market value and potential time it takes to sell the home. At this point the bank is looking at there options an plan to select a realtor. In this phase the Real Estate agent offers the home owner cash for keys. The agents normally start low and end high. Some real estate agents start as low as $500 on the first offers. Depending on the value of the home some offer as much as $2500 to $5000 on the final offer.
- Foreclosing on the home with the sheriff : After the cash for keys offer has been ignored, we move to the foreclosure phase. This phase is procedural and can take anywhere from a couple weeks to a couple months. The longest I saw this process take was when we had a Sheriff help to evict a Sheriff. As a whole at this point, the bank and real estate agent are just working with the Sheriff’s office on a date and planning a crew for the trash-out.
- Real Estate Trash-Out: As the Sheriff comes to evict, their protocol is to stand around as the real estate agent’s team goes to take all non desired items from inside the house and putting them outside the house. This is the true element of putting the trash out in a trash-out.
Where is Cash In Real Estate Trash Out?
In each phase of the real estate process, the banks have someone they work with to proceed. In many cases this process is driven by the real estate agent the bank selects to be in the real estate process. As a whole licenses are required for many elements of this process. However a trash out doesn’t exactly require a specific license to get cash. For more foreclosure income details Click Here!
Trash-Outs are quick and easy parts of the real estate process. It is simply taking what is in the house out of the house. Now fact is, nobody wants to be foreclosed upon ever. The fact is I hope and pray nobody has to go through this process ever again in life. Fact remains there have been real estate foreclosures and there will continue to be real estate foreclosures. This page is dedicated to giving you the opportunity to understand how to avoid foreclosure. But it is also dedicated to helping those whom want to get cash flows to their business from the bank through trash-outs.
I wish you continued success and blessing.
1.Campbell, Monty “BPO: A River Runs Through It” Yahoo!Voices, July, 2 2009
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