In this instructional video, Southern California real‑estate broker and veteran investor Joe Homs (40+ years, hundreds of flips) explains how to profit from pre‑foreclosure properties. He defines pre‑foreclosure, outlines why it can be a win‑win for investors and distressed homeowners, and walks viewers through a step‑by‑step workflow: (1) research using data platforms such as PropertyRadar and PropStream; (2) direct homeowner outreach via cold calls, texts, and especially door‑knocking; (3) negotiation tactics—starting low, making incremental offers until a mutually acceptable price is reached; (4) on‑the‑spot contract preparation and signing; (5) opening escrow and completing the standard purchase process; and (6) choosing an exit strategy—rehab and resale (his preferred route) or holding as a rental. Throughout, he emphasizes the importance of preparation, persistence, and ethical assistance to homeowners, while urging viewers to like, subscribe, and engage for further learning.
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Joe Homs here, and today we're going to be talking about how you can make a fortune with pre-foreclosure investing. I've seen how this strategy can become a game changer for your real estate business, so let's get into it. Hi, my name is Joe Homs, and I flipped hundreds of homes here in Southern California. I have over 40 years of experience. I've been a broker, mentor, and investor, and I want you to like, subscribe, and share this content with your friends. Pre-foreclosure investing is all about properties that are in danger of going into foreclosure but haven't gotten quite there yet. This is a great opportunity to get a good deal on a property, help out that homeowner who might be struggling financially, and make a profit for yourself. Here's some tips for successful pre-foreclosure investing. Do your research. So there's many ways to do research on pre-foreclosures. Most of the time, the best way is to get an account for PropertyRadar, PropStream. Those type of an account will give you access to the most current pre-foreclosures that you can act upon. Once you have that information, the next step is to reach out to the homeowner. Now, there's many ways to reach out to the homeowner. You can do cold calling, you can do texting, The way I like to do it is literally go door knocking, knock on that door and speak with the homeowner and find out what exactly got them into that situation. Are you following along? Make sure that you hit that like button and help me get in front of new investors. The next thing you need to do is negotiate that deal. So find out what exactly is happening, happening with that property, and then You're literally negotiating that deal. If they want $500,000, you're offering $400,000. If they say they'll take $475,000, you're offering $425,000 until you come to a mutual understanding. Last thing you want to do is close that deal. Now, when I go out door knocking, I have contracts ready to go. I just simply write the price and I get them to sign it right there on the spot. Okay, so once you have that contract ready to go, you're going to open up escrow, you're going to go through the normal process of purchasing a property, and then at the end of the day, you're going to close. So then after you close, your decision is either rehab and sell it or hold on to it as a rental property, and that's really up to you what your exit strategy might be. I personally like to rehab and sell. But, you know, there may be an opportunity that it will cash flow. Probably not here in California, but wherever you're at, check those 2 options. I know pre-foreclosure investing can seem daunting at first, but with the right strategy and a little bit of know-how, you can make a fortune. And remember, it's always a great way to help out homeowners who might be struggling. So get out there and start finding those pre-foreclosure deals. If you want to learn more about pre-foreclosures, click on this video right here. Thanks for tuning in. Feel free to leave any comments or any feedback, and I'll get back to you. And remember, reach out to me anytime because I'm always here to help.
