How do I find homes for sale that are actually foreclosed?
This question seems to be asked more and more so I thought I would answer it. The homes that are foreclosed are usually listed in the MLS as lender owned. That is the easiest way to tell if it is foreclosed but that data is not always that easy to find. It really comes down to the website you rely on for the correct data feed for homes that are for sale.
Many larger websites are not very good about providing up to date information. They purposely do not purge their older data for 30 even some times 45 days. Why? Because when you as a buyer go to a search engine like Google and type in homes for sale in a specific city those websites come up higher in the rankings because it looks like they have a bigger list of homes for sale in that particular city. In reality a lot of their information is out of date. I think this practice sucks and the only way to avoid this is to find websites like www.realtimehomesearch.com for those of you looking for homes for sale in the Minneapolis St. Paul metro area.
Some banks do not want the listing agents to mark the property as lender owned because it could hurt the values in a neighborhood where the bank has other mortgages. This makes the process even harder. You need to hire a buyers agent to help you sort all of that out. The best way to find the fully foreclosed homes is to look for the ones tagged as lender owned. The other two categories are both short sale categories. the first being potential short sale and the other is in foreclosure. That is still a short sale and all it is saying is that the home has had a sheriff’s sale and is in the foreclosure process, not foreclosed.
Bottom line is pick your real estate websites carefully when looking for a home and save yourself a huge amount of hassle and hire a buyers agent to help you through this home buying process.
Tom Sommers/Edina Realty