A property becomes a full-fledged foreclosure â€” sometimes referred to as a Real Estate Owned (REO) property â€” when it is repossessed by the foreclosing lender. The lender can take possession either through a deed-in-lieu-of foreclosure agreement with the owner during the pre-foreclosure period or through a winning bid at the public foreclosure auction. Foreclosing lenders are often motivated to sell these properties quickly because they are non-performing assets for their bottom line. Of the three stages of foreclosure,
REOs are most likely to also be listed for sale with a real estate agent on the MLS, but not all REOs are listed yet â€” meaning buyers may have to contact the lender or servicer directly to make an offer.
This isn't listed for sale yet....you can wait, or ask a realtor to help you find properties that are actively offered for sale. Just don't be surprised if you find that similar properties aren't listed at the price you're seeing here.