Frequently Asked Questions

What is pre-foreclosure?

“Pre-foreclosure” homes are defined as homes that are at least two months past due on the Mortgage payment.

This creates a “Notice of Default” because the owner was not making their payments. This creates an opportunity for you to purchase a property for less than it would cost to rent. Be aware that a pre-foreclosure property is not necessarily for sale. Often times owners will try to wait until the last minute to accept your bailout. So you may need to be flexible to get a good deal.

Where do you get your listing information?

The homes available on our site are filed as  “Notice of Default” by their banks.

Are the homeowners aware I will contact them?

The current owner has been notified by their bank that their default is public information. The fast nature of these deals and short-time frame between default and eviction is prohibitive for middle-men, but saves you tens of thousands of dollars in commission fees and allows us to get you this data affordably.

How do I take over payments?

The homeowner will quit the title and you will pay their loan each month as the new owner of the property until you refinance the remaining balance, resell the property, or decide to abandon it. This gives you an unprecedented freedom as you are not attached to the loan, you are not at financial risk from various disasters, poor foundations, market value crash etc.

Why do I need to clear the default?

The default is at least 2 months in past due Mortgage payments.  When the bank receives payment to clear the default they will stop the foreclosure action.

HELP! I’m having difficulty contacting the homeowner.

It is not uncommon for homeowners facing foreclosure to have their phones disconnected due to inability to pay bills or to avoid collections. Email us at support@finders.house with the Listing ID# you are interested in. We will possibly be able to provide a working phone number, an alternate address, an email address, a place of work, or nearest family.

Why would the homeowner abandon an equitable property? How is this realistic?

Homeowners go into default for a variety of reasons be it divorce, long-term unemployment, serious injury…the fast nature of the foreclosure process does not allow adequate time to sell the home for market value or even short-sale it by finding someone with financing. The homeowner is facing a bankruptcy and serious IRS repercussions (https://www.realtor.com/advice/finance/mortgage-default-what-happens-when-you-cant-pay/) The Take Over Payments method is actually superior to short-sale since your monthly payments will improve the original owners credit. It’s a WIN-WIN-WIN-WIN situation for everyone.

Does My Credit Matter? Do I need Financing?

Obtaining financing allows a professional evaluation of what you can afford in the long-term. It also gives you the upper hand versus ARM (Adjustable Rate Mortgages). You will also not have to be concerned with “due on sale” which states that if the home is sold to another party the bank can call the loan due in full. If you don’t yet qualify for financing you can start vesting in title now while your credit repairs, ensuring the monthly payments are timely keeps the bank happy and makes them more likely to work with you when you decide to refinance.

Do I need a Real Estate agent?

You could retain a Real Estate Agent to contact the homeowners on your behalf. Just inform the agent of the method we provide, they may have never heard of these techniques so let them read the members area of our website if they are confused. 

Why do I have to pay for this?

We charge a nominal membership fee. This will cover your registration with access to: documentation for deed transfer, Customer Support, access to exclusive information for members on our website, and all of our nationwide listings.

How long have you been in business?

Our team has been proudly gentrifying since 2009!

Can I make money doing this?

Yes, home flippers typically see a minimum of $10,000 profit and big scores of $30,000-$50,000 every time they resale a property, or you can refinance the remaining balance and access the equity that way.

Is this safe and legal?

Absolutely, investors have been doing this for 70 years, and the U.S. Department of Housing and Urban Development recognizes the legitimacy of this method in Form HUD-1 (Checkbox 203 & 503), a settlement statement filled out by every lending institution when a home is refinanced.

You can learn more here.