What happens to real estate when it is foreclosed?

Answer by  linstelito (20)

When a property is foreclosed on, the lender will take ownership of the property to compensate for the lack of payments from the borrower. The lender will then sell the property to recover at least some of the money it lost. This means good prices for potential buyers.

Answer by  multicrafty (13)

Foreclosed Real Estate What happens to foreclosed properties varies greatly from state to state. In all states, the property is now owned by the mortgage company. Most of the time is it then put up for sale by a realtor or an auction.

Answer by  patti (29325)

Ownership is assumed by the lien holder. Depending on the condition of the property and the local market, the house may be sold at auction or by conventional means.

Answer by  Devin98 (487)

The bank hires a foreclosure attorney to file all necessary paperwork with the courts, it then goes to sheriff's sale and if not purchased it is cleaned out and the placed with a real estate agent to list for sale.

Answer by  tamarawilhite (17883)

The bank takes possession of the property. They evict the current owner and remove their belongings. Then they hold a foreclosure sale, often on the courthouse steps, selling the property to the highest bidder.

Answer by  Travis404607 (3916)

Foreclosed homes are normally sold via "Quitclaim Deed," as opposed to the normal "Warranty Deed." A Quitclaim Deed is much less reliable, and it is possible for the previous owner's to attempt to get the home back.

Answer by  Chiyamaka (846)

You must contact the real estate agent that is selling the foreclosed lot. Take a look at the lot good. The price is usually already reduced when you go look at the land. You will however, be able to haggle the price down a couple thousand depending on the conidition.