Foreclosures can be one of the most lucrative ways to invest in real estate. Foreclosures and the subsequent loss of one's home, are the result of individuals who are unable to make their monthly mortgage payment for several months in a row. This provides an investment opportunity for investors to pick up the properties for pennies on the dollar. Did you also know that these investors can also rescue a lot of people from having to go through the nightmare of a foreclosure?

What does that mean for you if you are just learning about investing in foreclosures? First, it is an enormous opportunity to make some serious money. To reap the potential benefits you must understand the strategies for foreclosure success.

It would be daunting to try to figure this stuff out on your own. It's not that investing in foreclosures is complex. Ultimately it is a simple method once you completely understand the procedures.

There are things that you are required to understand that will shorten your learning curve accelerate your success, things that can keep you from making costly mistakes, things that you can only learn two ways:

1) The hard way, through experience and the school of hard knocks.

2) The easy way, with a mentor who outlines the fastest and most efficient route to your success.

I'll be honest with you, it does take a little bit of effort to invest in real estate. This isn't hitting the lottery. You have to be willing to do a little work. In all probability. The majority of the work you could do sitting comfortably at home in your pajamas if you wanted.

Your first step is learning about foreclosures. You need to understand the foundation first before you can apply it. If you're not familiar with foreclosures, there are several different stages of the foreclosure process: Pre-foreclosure, Auction, and REO. As an investor it's exciting to know that you can make money in all of the stages of the foreclosure process.

Obviously, you will want to know how to track these properties down and what to look for to determine if it's going to be worth the energy and time or not. The last thing you'd want to do is get stuck with a property that you can't make any money from. It's important for your wallet and your success to avoid the mistakes that some beginners make so you can be successful from the start.

Lastly, without complicated formulas and such, there are different ways you could structure the transaction. You must learn the advantages and disadvantages of each deal so you can decide what will work best for you. In your foreclosure education you should include and address: Short Sales, Equity Split, "Subject To", and Bidding at Auctions.

You can learn how to get these properties even if you're broke and have no credit. Some people have learned to profit from a foreclosure in less than 30 days. You don't need to have any money and you don't need credit. Sure it's great if you have money and credit but it's not necessary.

People are always buying homes in any economy; learn how to use foreclosures to make your dreams come true. This is a perfect opportunity to be ahead of the curve, take action today.