Tips for making money on bank foreclosures

Banks do not advertise their foreclosures in the paper.  In fact, they would rather you do not know how many foreclosed properties they have.  Here are a few tips for investing in bank foreclosures:

• Find a real estate agent that handles bank foreclosures.  It will not cost you anything and banks sometimes get upset if individuals call them looking for foreclosure lists.  

• Foreclosures represent a problem to the bank.  Treat the bank with respect and they will be happy you are solving their problem.

• Look for bank foreclosures in areas where school districts are good, rental rates are relatively high and properties are appreciating.

• Focus on properties that require cosmetic repairs only.  

• Buy below market value