How does this benefit you? Well, more than likely previous owners of property have been making payments on it for some time, bringing down amount bank was owed and increasing equity in property. Since bank is only concerned about recouping what they are owed and not really attempting to make a profit, then you can essentially reap benefit of equity in property and purchase home for what is owed which is likely well below current market value.

This approach while simple in theory does require research, time, fixup, and perhaps even cash upfront. This approach is not for everyone, but if your situation allows for it, you may be able to snag a great deal on a nicer home than you could otherwise afford.

They are converting their own complexes while looking for other existing buildings to buy and convert.

The business has become so profitable that many of these big guys are slowly moving out of apartment business by either converting owned properties, buying others... or building new condo developments.

This is a wake up call for small real estate investor. Start looking for motivated condo owners!

But watch out for this! Many lenders will stop financing condos if percentage of non-owner occupied units building reaches a level they consider dangerous. This means that you could have trouble selling units you own at some time in future if you're not careful.

Stay in touch with condo association and be ready to move quickly if too many investors are buying units in development.

You can use most of same tactics you use to buy single family homes with condos.

Two of most powerful tools are lease/options and buying "subject to" Click Here

Mark Walters is an investor-entrepreneur helping other investors from his Web pages at http://www.Lease-Option-Sub2.com