PRE-FORECLOSURE SAVVY INVESTORS NEEDED! Help the home seller. Help the creditor. Be rewarded. Are you looking for discounted property? Then short sales are a great way to obtain a property below retail price. Everybody knows that the quickest way to succeed in real estate is to obtain properties at a discount for either holding or flipping. Short sales are an excellent way to accomplish this. Because of this, the ability to execute short sales is an essential technique for all investors. When it comes to acquisition of discounted properties, investors capable of executing short sales are definitely at an advantage. What is a short sale? A short sale is the purchase of a property for less than what is owed on it by obtaining permission from all the secured creditors to do so. Who takes short sales? Any creditor, secured by collateralized real estate, whose equity position in the property is compromised. These creditors are better off securing the recovery of part of the principal rapidly rather than taking a risk by waiting for more. Short sales also happen when well secured creditors prefer discounting principal in order to obtain some money now rather than more later. By far the most common reason for a creditor to take a short sale is a pending foreclosure. Foreclosure: The F word of real estate. Other than short sale investors and attorneys, all parties involved in the foreclosure will inevitably lose. The home owner , in addition to losing the property will have ruined credit forever. This will compromise the ability of the person to ever buy a new house through conventional financing. Not only that, if there is a second mortgage or other junior liens, judgments will be filled and collections will start in earnest. Does anybody think that owing money is pleasant? The creditor has a non-performing loan with collateral at risk. What could be worse than owing money? The answer is not having the money lent returned. Being owed money given as a loan, and that may never be paid, is not only unpleasant. It is ugly! Not only that. Chances are that if there are no mortgage payments, then there are no home owners insurance payments either. In other words, if there is a fire, the value of the collateral will greatly diminish. Such is the plight of creditors. To say the least, this is an uncomfortable situation. Can things get even worse for a creditor? Off course! How about holding a second mortgage or a junior lien on a property? These creditors may never be paid. This is neither unpleasant nor ugly. It is nasty! Be rewarded: Provide a solution to real estates F word. Buying properties in a short sale is not about taking advantage of foreclosure situations. It is about resolving foreclosure problems. Consider the doctor-patient relationship analogy. Doctors are well paid because they resolve problems the patients cant resolve by themselves. They do not take advantage of healthy people in order to charge a lot of money. That is what the short sale business is all about. It is about providing a sensible solution for all parties involved in a foreclosure situation. Investors capable of doing that are well rewarded. The creditor(s) get more of their principal quicker. The owner avoids permanently ruining their credit and having further problems with creditors. The investor obtains a discounted property. Short sale investing is about win-win-win solutions. Provide solutions to real estates F word and be rewarded. Get started in the short sale business with this mindset. This is the best way to succeed. ###### Please contact Oscar Mornate for Permission to post this article on your site. Credit for the article must be give to Oscar Morante, Best Short Sales (C) 2006 Advanced Real Estate Concepts, LLC., Portland OR. All rights reserved. More information about the author can be found at www.bestshortsales.com. Offering Short Sale Products & Short Sale Seminars