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Picking Your Point of Entry

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As a real estate investor, you can step in at any stage of the foreclosure process to acquire properties and enact other profitable transactions:

 Presale: Before the property is auctioned or transferred to the trustee

 Sale (or auction): When the sheriff or the court auctions the property or after control of the property is placed in the hands of the trustee

 Postsale: After the lender repossesses the property, when you can purchase the property from the lender or from its REO broker

In the following sections, I describe these three entry points. For more advice on how to select the entry point that’s right for you, see Chapter 3.

Begin tracking properties early in the process, even if you choose to buy properties later. By tracking properties early, you pick up on the history of what’s going on and develop a clearer idea of how much to pay for the property.

Foreclosure Investing For Dummies

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