That’s a real estate investing recipe for success more often than not, especially if you can discern between money pits and money makers. When it comes to flipping foreclosures, or even purchasing a discounted distressed property as a primary residence, it’s critical to spot the “diamond in the rough” before someone else beats you to it.

Distressed properties are often in less than tip-top shape, but it’s that shabby exterior that is concealing the massive opportunity for riches for those investors who know how to take advantage of great deals when they see them.

Spotting a diamond in the rough isn’t difficult, but it does take the right knowledge and an open mind. You need to be able to see past the unsightly condition of a home that has turned off other investors to determine if it is really worth your while.

The September 2011 edition of Foreclosure.com’s free educational newsletter, “Investment Exchange,” is now available, which shows you how to find and capitalize on those diamond-in-the-rough properties that are just waiting for an investor like you

Learn how to hone your detective skills to uncover these amazing deals before your competition does. The potential financial rewards will be well worth your time.

To read this month’s free educational newsletter from Foreclosure.com CLICK HERE.

Apps, smart phones, iPads and other innovations are all the rage these days. Real estate agents, sellers, buyers and investors are all taking advantage of the latest technology to expedite the marketing and sales of homes at seemingly every turn.

But with the competitive market flooded with so many products, services and short cuts, it can actually hamper your home search rather than make it smoother … and cheaper.

The August 2011 edition of Foreclosure.com’s free educational newsletter, “Investment Exchange,” is now available, which teaches you which technological gadgets are worth the effort of getting to know and how to put them to work so you can save time and make money faster.

We’re also very excited to tell you about a 100 percent free opportunity to learn all about integrating technology into your investment strategies quickly and easily. It’s a crash course in the essential technological tools that, when used correctly, promise to make a real difference in your bottom line.

Learn about the most innovative and intuitive technological tools that will make finding, purchasing and profiting from distressed properties easier than ever before.

To read this month’s free educational newsletter from Foreclosure.com CLICK HERE.

Title searches become especially critical for short sale and foreclosure transactions because liens on a property transfer with property ownership. That means that you could be stuck with an outrageous bill even though the previous owner caused the lien to occur in the first place if you’re not careful.

Indeed, any encumbrances incurred by the previous owner could become the next owner’s problem. And if that next owner is you, you may be in for a very unwelcome shock.

The July 2011 edition of Foreclosure.com’s free educational newsletter, “Investment Exchange,” is now available, which familiarizes you with title searches and how to get them done, for free if you’re so inclined (and diligent), as painlessly as possible.

Your success as an investor depends on it.

To read this month’s free educational newsletter from Foreclosure.com CLICK HERE.

Those who do, typically do quite well. And they will likely be doing even better as their discounted purchases appreciate over time.

However, it’s not as easy as most “do it yourself” home renovations on television today would lead you to believe.

On the contrary, you need to do your homework to ensure that you don’t lose your shirt — and thousands of dollars — investing in a foreclosure lemon. The flipside to that coin is that you can also be pleasantly surprised with what you find in your “as-is” real estate money machine.

So what can go wrong, and what can work in your favor, at a public foreclosure auction? The Orange-County Register runs through a few “Risk vs. Reward” scenarios in an article today.

Check them out:

Risks:

1. Insufficient funds
2. Purchase a junior loan, not the primary
3. Expensive, unforeseen repairs
4. Negotiation issues with lender
5. Disgruntled/vindictive tenants and/or squatters who need to be evicted

Rewards:

1. Turnkey investment with built-in equity
2. Home is vacant (No tenants and/or squatters)
3. Get more house than you thought
4. “Paperwork” problems save you from a potentially poor investment
5. Lender makes a mistake, pays you for your troubles

Do your due diligence, research the foreclosure laws in your state and talk to a real estate attorney to find out about auctions and foreclosure laws in the area in which you plan to purchase your foreclosure property.

That type of attention to detail will help ensure that your rewards outweigh your risks.

Right now is one of the best times to purchase foreclosure auction properties because so many properties are available in most areas and price ranges.

But the best deals don’t last long.

And since no one knows how much longer foreclosures will continue to flood the market, you should take advantage while they are abundant and so affordable.

Just be careful!

“First they ignore us, then they laugh at us, then they fight us, then we win.”

– Gandhi

This memorable quote may be what you experience if and when you start (or restart) a new venture.

And if you’ve thought about buying or investing in real estate recently, it’s entirely possible that you have been met with a few quizzical looks and several skeptical remarks.

That’s because the housing market is so unpredictable right now. The collective  economy, too, is still shaky.

All that may not matter to you, however, if you see the bigger picture. Specifically, mortgage interests rates, as well as housing prices, are at record lows. Prices will eventually correct, which puts you — as a homebuyer or investor — in a nice spot moving forward.

When investing in real estate there may be people who ignore your desire and/or dream. Some may even scoff or laugh at your “foolish” decision to invest in real estate at a time like this.

However, if real estate investing is something you really want to achieve then ignore the doubters and proceed with your passion. In the end, you — not them — will have to live with your decision.

Wouldn’t it be nice to invite them along as you laugh your way to the bank several months/years down the road?

Regardless of your decision — or whatever else you do in life — do something you love. Passion will fire your personal energy source and lead you to the finish line.

Whether you buy a flawless gem or a diamond in the rough, your new home is going to cost you extra after closing.

That amount, of course, depends on the condition of the home and your taste. Some improvements are often more practical than others, and in some cases, utterly essential.

Whatever the case may be, we can all agree that spending the least amount of money on the most fixes and/or renovations is always high on the priority list.

That’s where we come in.

The July 2010 edition of Foreclosure.com’s free educational newsletter, “Investment Exchange,” is now available, which answers these important questions and details everything you need to know about “Calculate rehab costs.”

It’s all about priming you for rehabbing your distressed property. You’ll learn how to find great contractors, money-saving “Do it Yourself” (DIY) projects, which problems to look out for and much more.

To read this month’s free educational newsletter from Foreclosure.com CLICK HERE.

One of the most daunting aspects of getting involved in distressed real estate is the misconception that you have to go it alone.

On the contrary, enlisting help from local professionals who have experience and “on the ground” knowledge can make your house hunt as profitable and painless as possible.

It just makes perfect sense … and cents.

Fortunately, there is a lot of help out there to see you through your distressed property purchases from start to finish.

And Foreclosure.com is the place to start.

In addition to free access to the best, as well as the most current and accurate distressed property listings in the United States, we also provide you with all the education and resources you need to get going.

These resources include community experts to help you pinpoint the best houses in your area. They also include reliable agents who can handle all aspects of your distressed property purchase.

To find a qualified agent in your area today, and to search our nationwide broker network, click here.

In addition, the May 2010 edition of Foreclosure.com’s free educational newsletter, “Investment Exchange,” is now available. Dubbed “Find an agent,” it’s all about helping you find the right agent so that you can snatch up that perfect property … before someone else does.

All you have to do is find some properties you think you might like and then pick up the phone or fire off an email to your local community expert.

It’s that simple. Just check out “Find an agent” today to learn more.

To find a qualified agent in your area today, and to search our nationwide broker network, click here.

So says Colorado Springs, Colo., real estate agent Shawn Jardine in a recent article from the Christian Science Monitor:

“It’s a feeding frenzy right now. On one property listed for $65,000, I had 15 offers. The best offer won at $20,000 over asking price.”

Wholesalers, which are basically investors with lots of money who can buy in bulk, are “snapping up” a healthy chunk of the best distressed property deals currently available on the market.

It’s common these days for wholesalers to swoop in and make all-cash offers, making it difficult for first-time homebuyers and other “small-time” investors to land their deals.

With the nationwide housing market riddled with bargains, and a volatile stock market, wholesalers are literally banking on the notion that the market will eventually rebound. Perhaps not to pre-collapse levels anytime soon, but nonetheless, it’s bound to happen.

When and where is still a huge question mark. In the meantime, opportunistic wholesalers have the ability to buy low now, renovate their homes (if necessary) and then hang onto them for however long it takes to rent or re-sell at later time for huge profits.

To beat wholeslaers, investors and other buyers to the punch, we always recommend that you consider our FREE email alerts. We send you the hottest deals in your area the moment they hit the market.

Timing is everything … now more than ever!

There are several things that can and do often send homebuyers off the rails during the homebuying process, but CNNMoney.com whittles down the list of the most common pitfalls to six:

1. Not knowing your credit score
2. Buying a car before a house
3. Skimping on home inspection
4. No lawyer
5. No contingencies
6. Not budgeting from insurance

Remember to also check out our “First-time Homebuyer Program” Webinar to ensure that your experience is the best it can possibly be … it’s well worth it.

Avoid costly mistakes now and in the future!