Avoid Auctions

While there are a number of ways to find a bargain on a foreclosure, going to the sheriff’s auction is not one of them. You are buying a home without the benefit of inspection and you would be responsible for any liens or back taxes. Besides, you will have to pay cash that day to buy it, no loans allowed!

The least risky way to buy a foreclosure is to wait until it is listed with a realtor. The bank then assumes responsibility of any back taxes and liens and must provide you with clean title and title insurance. Sometimes they will even make a repair or two if they find something that will hurt the sale of the home. Plus, you can get a mortgage on them most of the time.