ALL good answers below. To add to their comments, I want to make sure you are referring to true foreclosures (totally bank owned properties) as opposed to short sales (current owner still has possession of the home but owes more on their loans than the home is worth in the current market).
Foreclosure properties and short sale properties can both be a long process to close. They are not always "cheaper". There are foreclosures and short sales from $20,000 to over a million dollars. It's all about the owners (deed holders) financial situation and how much the lenders (or tax assessors etc) are owed.
Mortgage RATES do not vary or get cheaper because the home is a short sale or foreclosure, but of course you are correct in that a less expensive purchase price makes for a less expensive mortgage payment. Bear in mind though that morgage payments included what is referred to as PITI: P= principal , I = Interest, T = Taxes (property) and I = Insurance (monthly homeowners premium)
Additionally, not being able to afford a "heavy downpayment" tells me you you don't have a lot of cash on hand and should probably look for a home that is NOT a foreclosure or a short sale. BOTH types of sales are typcally sold AS IS, meaning no one will make an needed repairs to the property after you complete a home inspection. (which the buyer payus for out of pocket and is not reinbursible) This can be an added expense to you that you may not be able to afford.
Have you spoken to a qualified mortgage lender about what you may be able to purchase based on your salary, income and debt? You might qualify for an FHA loan with requires only a minimum of 3.5% down payment.
Buying a home MAY seem complicated, and in a sense it is, BUT if you work with a competent and knowledgable team of people including your Realtor, attorney and lender, they can talk you through the process and make it that much easier.
Feel free to comtact me directly at 908-675-0167 or email me at PruMaryNJ@aol.com. I would be happy to answer any questions you have and explain the buying process to you in more detail.
Have a happy, healthy and propserous 2014 !! Look forward yo hearing from you soon :)