With more foreclosures now than ever before, America's weak real estate market seems to set new dismal records each month. Yet well-funded investors in real estate are seizing upon this opening to profit from an profoundly profitable new opportunity.

The new opportunity is known as 'Bulk REO Investing' or 'REO Package Investing' and it's a huge opportunity.

The basis of the Bulk REO business is foreclosures, so let's analyze the foreclosure process now.

To understand Bulk REO investing is to understand the foreclosure process.

When a home owner begins to miss payments on their mortgage, the lender begins to send late/overdue notices to the home owner. The official foreclosure proceedings begin subsequently, as directed by the lender. The name for this period is 'preforeclosure'.

When a defaulted property is placed up for auction, the foreclosure process is completed. If there are no buyers at the foreclosure auction, the lender regains title to the property. Such a property is then classified as an 'REO' (Real Estate Owned) by the lender.

Typically, lenders list their REO properties with local real estate agents in hopes of selling the property to a retail buyer who will pay full price. However, REO properties are now frequently sold for far less than their 'book value'. However, the purchase of a 'package' (or group) or REO properties is the trade-off for receiving such great prices.

These REO packages represent the potential to acquire huge amounts of equity for savvy real estate investors. Bulk REO Investors are most successful when they have a well-established source of funding for their REO packages. Some sources of funding for these transactions are: personal funds, hard money lenders, commercial lenders and non-conventional sources such as private investors and hedge funds. Additionally, one man is becoming very well known in the field of bulk REO investing, and his name is Salvatore Buscemi of Dandrew Capital Partners, a hedge fund in New York.