Beware of "junk" foreclosure home data!

The Internet is plagued with providers of "junk data" that obtain their data for free and then resell it to you.  They promote s home as "foreclosures", but in fact, it is not!   Most of the foreclosure data being provided (promoted) by these nationwide websites are obtained from lists from banks (REO's) and government agencies (VA, HUD, FNMA, etc.).  They obtain these lists for nothing, and that's what the data is worth - nothing!

Properties that are being sold by a bank, or the government are NOT FORECLOSURES.  They are POST FORECLOSURE properties, having already been foreclosed on.   These properties are not in DISTRESS!  The former owner was, when they were being foreclosed on.  Once the bank, or government forecloses on the property, it is no longer in foreclosure, and no longer in distress!

Post foreclosure properties are not deals.  They are sold by the respective organization at FULL MARKET PRICE.  Once the organization gets the property back, they appraise the property through a local appraiser or broker, then list the property with a real estate broker, or with themselves...at FULL MARKET VALUE!  The only time when a deal might be made at a market discount, is when the bank or organization has TOO MUCH INVENTORY!   When they have more properties on their books than they can handle, they might discount a few, to keep their portfolio in proper balance.  Unfortunately, that market does not exist today.  

The real foreclosure deals are found when a property is "in foreclosure", going through either the Notice of Default, or Notice of Trustees/Sheriff's Sale stage.   Under this stage, there is a tremendous amount of distress and the only opportunity to purchase a property SIGNIFICANTLY BELOW MARKET VALUE.  This is where you may pickup, or capture, the current owners equity (10% to even 50% of the current market value).  The lender (bank or government) has not yet received the property back, and cannot charge market value.   The deal is made with either the current owner (in distress), or the Trustee/Sheriff at the auction, where it goes to the highest bidder.

Don't be misled by these websites offering, "lists" of "foreclosures" in your local area.  The properties are "post" foreclosures and are usually already sold.   This is junk data.   Subscribe to a real foreclosure data service that captures the foreclosure notices when they are recorded at the local county recorders office, and then publishes that data to real foreclosure buyers.   

You get what you pay for.  Don't waste your time on the free, or cheap lists.  Buy real foreclosure notice data, from real foreclosure data providers!