Nationally, 34 percent of foreclosures are strategic defaults, according to a September, 2011 survey by the University of Chicago.
If a person with a past foreclosure has waited 3 years and has at least a 620 credit score, they can qualify for an FHA home loan. For VA loans, it is only a two-year wait.
The strategic defaults started gaining popularity about 3.5 years ago. People who have strategically defaulted have normally been home owners who can afford homes. They are now entering the home buying market again as homes are inexpensive and rates are cheap.
In my service area, most of these buyers are total price shoppers and will only pay for the cheapest inspection they can get.
However I have a plan for that. I asked them who there Realtor is, if it is someone who I have been trying to win over I will beat anyones price.
After 10 years of doing this I have out lasted just about everyone.
If you are really out there doing the best possible job you can for your clients then you have lost good referral sources along the way. For whatever the reasons may be, you have to keep replenishing that source.
You can spend that money however you want but the best way is showing what you do to the “right” referral source.