subject: Profit from Probate Investing [print this page] Profit from Probate Investing Profit from Probate Investing
The recent economy's downfall has greatly affected the real estate market but it did not stop people from chasing at the possibilities in making more money out of this venture. It has its ups and downs and many real estate investors dealt with difficulties and hard times. The problem has nothing to do with the downfall of the economy or that it has been the buyer's market lately because it also has to do with people neglecting to see the segments that are hidden or mostly ignored by other investors.
One of the areas in real estate that is often unnoticed by investors is probate investing. Some people simply stay away from having to deal with a property of a deceased person or they just brush it off thinking that it is too much of a bother and there is a lesser potential in this investment. It is a sensitive matter and it is not easy to just approach the mourning family and offer your help if they have any plans to sell the remaining property.
This is what the investors are trying to avoid because it is mostly perceive as a hassle and not worth their time. But if you look at the brighter side, there is not much competition in probate investing if it is being avoided by most investors. And this will give you a greater chance in finding good deals and motivated sellers. No competition only means more money for you.
If you think about it, probate investing will not go anywhere. At some point people will die and the estates will go to probate. Government regulations will make sure they get the due taxes and a quarter of all cases in the court each year come from probate cases. So you should see that there more prospects in this market.
If you want to have complete control over the sale, you need to get involved early on. You will have to approach the heir of the deceased after the probate has been opened in court. It is true that you will feel uncomfortable at first because you don't know how the person will react or if they will take it negatively but once you get started, you can tap a very lucrative and competition-free market. What you need is to make them realize that you are actually helping them deal with future financial responsibilities, so all you need is motivation to be successful in probate investing.
Inheriting an estate also means taking over the mortgage, associated bills and property maintenance. So most heirs will try to steer clear in facing any future added financial issues and will likely sell and just take their money. The best way to buy a probate property is to offer them cash because it fills their needs. It is seldom that you will find heirs who will take so long in making a decision if they want to sell or not or if they want to sell it at a higher price because most of them just want to quickly dispose the property. So in probate investing, this is where you will mostly find motivated sellers. This opens the doors to investors who want to find great deals out of probate investing.
If other investors shy away from probate investing, they are also passing up the opportunity in making more money. Keep in mind that that you are offered a chance to make profit in real estate business and when it is ignored, so it's their loss but your gain.
