I have been receiving a number of requests for foreclosure listings as buyers think they are going to get a Great Deal!!! The foreclosure process contains 3 stages: Pre-foreclosure, foreclosure auction, and bank owned properties. I specialize in listing bank owned properties. If they are in good shape, and some of them are, banks price them to the market. If it needs a ton of work, it will be priced accordingly. There are some good deals out there that are not bank owned.
There are websites you can pay to get foreclosure listings. Most of them are in pre-foreclosure. After 90-105 days of non-payment, the property will be up for auction and if not sold at auction the bank will buy it. Many prefer buying a lender or bank foreclosure after auction because they know the title to the property is free and clear, the previous owners have vacated the property and the lender or bank is probably motivated to sell the property quickly.
Whether you use a Realtor or not, be sure to do some research about the area first. When purchasing property, look for location, you may be able to get a great deal but the location is less desirable. With interest rates near historic lows, and inexpensive inventory, the time to purchase a new home is right now!