What site were you searching on to find this home? Sites like Realtrac which partners with Trulia give inaccurate information including listing properties as foreclosures when they are just in default. It can take 6 months to a year, or longer, for a property to hit the regular real estate market. In the interim the home may be sold at a county courthouse auction and never come to market. Or the owner may redeem the default and prevent the disclosure.
Buying a property at auction to occupy (not flip ) is usually something done without a Realtor as there is no commission paid in these homes. Auction properties also come with some big pitfalls like evicting a current tenant or owner, not being able to view the home or inspect it prior to purchasing...and you'll need a cash deposit of $10,000 up to 20% of the purchase price. If the property is sold subject to an existing lien other than the mortgage you "buy" that too. Risky business to go alone.
The Internet is such a great house hunting tool. But you may not be getting the whole picture on this home.
Email your agent the link to the home and ask for a bit more information. This is also a good time to discuss with them auction purchases and see if that is an option for you.
If you would like, I can create a search for you and/or find out details of the house in question. Contact me at email@example.com.
Rich Taylor 443 710-7871