Logic Real Estate
Search Santa Fe MLS at http://www.santaferealtyproperties.com/
It depends how many foreclosures there are in the area. If the area is overwhelmed with foreclosures, then it can have a negative impact.
Syan Real Estate
Call/Text: (505) 730-8181
What hurts the market is after the foreclosure is over and the bank now owns it and sells it as a bank owned home (also known as a REO). The bank will often sell it at a lower price to make it sell quickly and since it was probably not well cared for, before it went to foreclosure, that also reduces the sales price. This is what affects the market because an appraiser will look at these homes that did sell.
Is it just one home in your instance?