The owner whose property is in the preforeclosure stage may be pursuing other options to attempt to cure the default (in other words bring current the back payments). Still, a serious offer from a pre-qualified buyer may in some instances prove to be the best solution for the preforeclosed property owner.
By contacting the preforeclosure owner directly before the foreclosure process builds to a full head of steam, both the buyer and seller can benefit. The buyer can very often gain from tremendous discounts on the purchase of the property while the preforeclosure owner can get out from under the mortgage and escape from having his or her credit history being ruined. Unique and flexible sales agreements, along with low down payments, are also possible options available during this period of time — if structured properly.
Buyers interested in contacting the preforeclosure owner must be sensitive to the fact that the owner is probably in the midst of a delicate financial crisis and as such is likely weighing his or her options before taking further action. Prospective buyers must therefore approach the preforeclosure owner in a considerate manner which is both nonaggressive and respectful of their need for privacy. Keeping those considerations in mind, probably the best way to contact a preforeclosure owner is through the mail.
Although there is the risk of the letter or postcard going right into the trash, at the very least contact by mail offers the preforeclosure owner an alternative to foreclosure that is unassuming and non-threatening. Contact by mail, rather than phone calls or knocking on their door, also lets the homeowner know there is someone who is interested in buying the property, and gives the preforeclosure owner time to think about the offer without undue pressure. The message should be brief and to the point, letting the preforeclosure owner know that there is an offer on the table that may be a viable option for them rather than facing a foreclosure auction.
Postcards are usually the method preferred by investors to contact a preforeclosure owner because they are a much shorter, quicker and more efficient way of communicating the buyer’s message which is also less time consuming for the preforeclosure owner to read.
RealtyTrac’s postcard system allows potential buyers and investors the opportunity to easily create, schedule and track postcards from the comfort of their computer. Plus, access to RealtyTrac’s nationwide database of preforeclosure listings makes it easy for buyers and investors to conveniently find and send postcards to preforeclosure homeowners anywhere in the country.
Utilizing the RealtyTrac Contact Center makes contacting the preforeclosure owner via postcard quick and easy. There are 12 pre-written postcards for buyers, investors and agents to choose from. Just select the desired postcard and send it out. It’s that simple!
Or if preferred, the buyer, investor or agent can customize one of the standard postcards with their own personal message that can be created and sent from their computer up until just days before the property is sold at auction.
For buyers and investors who prefer to work with an agent, a real estate professional from the RealtyTrac Agent Network will be happy to contact the preforeclosure owner in their behalf.
One thing to keep in mind is that although RealtyTrac has simplified the process of mailing postcards to preforeclosure owners, getting those owners to actually reach out for help may be very difficult for them. Due to the stress and pressure they are already under, they may not want to talk with buyers or investors interested in purchasing their property. In many cases the preforeclosure owner may just be in denial about his or her situation and won’t consider an offer.
One postcard is not always going to do the trick. Therefore, RealtyTrac recommends sending out at least three or four postcards to each preforeclosure property. Mail each postcard at seven to 10 days intervals, so that the direct mail campaign is effective without overwhelming them.
Here’s how RealtyTrac has simplified the process:
Sending multiple postcards to preforeclosure owners over time is made easy. Just select the desired postcards, and select the mailing dates on the Postcard Schedule page. In Send A Saved Postcard, the buyer or investor can also access postcards they have used previously so that there is no need to keep going through the set up process again and again. Once a postcard is saved, a mailing scheduled can be established.
Proper marketing to a motivated preforeclosure owner will most likely garner a response.
Here are some tips for making direct mail marketing with postcards count:
- When writing text, make sure the postcard explains to the preforeclosure owner how a sale could benefit them, and that the transaction can move forward quickly.
- Avoid any mention of foreclosure or default because it could humiliate the homeowner if someone else reads the card.
- Give the preforeclosure owner multiple contact methods such as a phone numberand e-mail address.
Working with preforeclosure owners is a difficult way to purchase a property, and not for the faint of heart. As such, it is advisable that first-time buyers seek professional assistance rather than send postcards to preforeclosure homeowners themselves. A member of the RealtyTrac Agent Network is ready and willing to assist them.
By going to RealtyTrac’s Contact Center page and clicking on Have An Agent Contact The Owner, the buyer or investor will be taken to an agent landing page for the area of interest. By simply filling out the buying form a prescreened RealtyTrac agent will make contact with the preforeclosure owner for them.
Visit Foreclosure Center
Visit our Foreclosure Center to read more detailed information about foreclosures.