Buying foreclosed properties is getting more popular and more profitable every day. There are dozens of foreclosed properties hitting the Fremont California market every day. These properties can be both gold mines and land mines. In this article, weíll go over several simple tips to help ensure that your first foreclosure purchase is a successful one.

Opt for a Low-Repair Property for Your First Deal

Weíve all heard about people who make thousands of dollars buying fixer foreclosures and fixing them. The reality is, however, that doing such a deal requires a high degree of expertise.

Do you know how to fix a broken roof? Can you estimate how much it would cost to replace an entire shed? Can you estimate how much the repairs will cost and compare it to your selling price in the end?

Although you can make a lot of money doing fixers, you can also make a lot of money just by buying foreclosed properties, doing minor cosmetic repairs and selling them again. For your first foreclosure deal, look for houses that donít require much work so you can get some experience under your belt.

Research the Nearby Market

There are generally three reasons youíd buy a foreclosure: To rent out, to sell or to live in. If youíre buying to repair and rent out or sell, then market research is absolutely essential.

If youíre buying to rent, itís important to know what other properties in the nearby area are renting for. Itís also important to know what the vacancy rates are. Based on these numbers, you can accurately predict what your cashflow will be like.

If youíre buying to sell, itís important to know what you can expect to sell your property for once your repairs are completed.

You should know these numbers before you make your purchase. Remember that with any real estate investment, the profit is made on the buy end, not the sell end. You must know how much your property is worth or how much you can rent it out for before you can make a profitable investment.

These tips will help you avoid some of the biggest pitfalls beginning investors tend to fall into with their first investments. Foreclosures can be a very lucrative business, but it also has its dangers.

If you are considering buying or selling property, planning to relocate, looking for Fremont homes for sale, or looking for any other information about real estate in Fremont, or the surrounding areas, please visit the most complete website dedicated to everything Fremont real estate related www.ClydeBrownHomes.com.

Specializing in all Fremont neighborhoods, including Centerville, Deep Creek, Ardenwood, Northgate, Niles, Irvington, Brookvale, Glenmoor, Cabrillo, Parkmont, Sundale, Warm Springs, Mission San Jose Fremont, Weibel, Avalon Heights, Lake Lakepointe, and Liberty Commons.  I also serve all East Bay cities including Fremont, Newark, Union City, Hayward, Oakland, Santa Clara, Milpitas, Dublin, Livermore, Pleasanton, and San Ramon. If you or someone you know are in need of a competent and caring Fremont agent in Fremont, or the surrounding areas, I hope you will contact me. Clyde Brown Legacy Real Estate & Associates.

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Clyde Brown
Legacy Real Estate and Associates
Fremont, CA

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