Are you looking for the best websites to find foreclosures in 2023?
Whether you are a first-time homebuyer, an experienced investor or just curious about what’s out there, it can be difficult to know where to start. With so many options available online, it can be overwhelming trying to figure out which sites offer the most accurate and up-to-date listings.
That’s why we did the research for you and compiled this list of top websites for finding foreclosures in 2023 — both free and paid. Here you will find some of the most comprehensive foreclosure sites available with features like detailed search filters and interactive maps.
The Value of Forelosures For Real Estate Investors
A key part of the real estate investing process is finding great deals on properties. And foreclosures often make for great deals. They can offer tremendous upside potential and substantially lower purchase prices than market value.
Because when a home is foreclosed on, the lender takes possession of it and must recover its losses by selling the property quickly. This makes foreclosures and pre-foreclosures a great opportunity to buy properties below market value, potentially giving you thousands of dollars in immediate equity.
For real estate investors, it pays to research and keep track of which sites offer the best foreclosure listings. Foreclosures can often turn up great investment opportunities. While some sites may require a membership fee in order to access certain features, they can be worth it if you are serious about finding quality foreclosure deals.
Before we show you our list, though, let’s briefly discuss the different types of foreclosures you might encounter and how they work.
Types of Foreclosure Listings
Foreclosure might seem cut and dry, but it’s actually an umbrella term used for a broad array of situations. The different types of foreclosure listings you may come across include:
Pre-Foreclosures: In these situations, the homeowner has defaulted on their mortgage payments and is in danger of having the home foreclosed. However, they haven’t been evicted yet which means that investors can still purchase the property from them.
Bank-Owned Foreclosures (also known as “REOs”): This type of foreclosure has already gone through the entire foreclosure process and is now owned by a bank or lender. Investors will likely have to contact the bank directly in order to purchase the home.
Government-Owned Foreclosures: When the government seizes a home due to unpaid taxes, they will usually put it up for sale in an auction. This type of foreclosure is typically owned by either a federal or local government agency.
Short Sales: In this situation, the homeowner owes more on their mortgage than the home is worth and may be facing foreclosure. A short sale is when the lender agrees to take less than what is owed in order to avoid a foreclosure. Investors must act fast and be prepared to pay cash in order to purchase a home through a short sale.
Basic Process For Buying a Foreclosed Property
We’re going to give you a list for finding foreclosures.
But how do you actually buy those properties if you find one that you’re interested in?
The process for buying a foreclosed property is not drastically different from any other real estate transaction, but there are some key differences.
First, you’ll need to make an offer to the owner or lender and get it accepted. This might mean going to an auction in-person or calling a lender to make an offer on the phone.
Once your offer is accepted, you’ll need to secure financing if necessary and then begin the closing process. This will involve signing documents, paying fees, and transferring title of the property into your name.
It’s important to remember that you are purchasing the home in “as-is” condition, so you’ll want to inspect the property thoroughly if possible (sometimes inspections are not allowed).
You’ll also need to consider the cost of any repairs or renovations necessary to make the home livable and up to local codes.
Finally, you should be aware that there may be additional closing costs associated with purchasing a foreclosed property, such as delinquent taxes or fees associated with a third-party foreclosure service.
Pros & Cons of Buying Foreclosures
Buying a foreclosure property can be a great way to get a great deal on your next home.
However, it’s important to weigh the pros and cons before making the decision.
- Foreclosed properties often have significantly reduced prices compared to similar properties that are not foreclosures.
- You may also find properties in desirable neighborhoods that are unavailable on the traditional market.
- The foreclosure process also creates a more transparent and streamlined buying process than traditional purchases.
- Foreclosed properties can be in poor condition, both structurally and cosmetically. This may require extensive repairs or renovations to bring them up to livable standards which can be costly.
- Foreclosure properties may also have undisclosed legal issues, such as unpaid taxes or liens. It’s important to research the property thoroughly before investing in it so that you are aware of any potential risks.
- Lastly, foreclosures can take a long time to complete and they require a large amount of paperwork. This can be a daunting process for the inexperienced investor.
Fees Associated With Buying Foreclosures
When buying a home, there are always fees associated with the process — such as appraisal fees, loan application fees, and title search fees.
When it comes to foreclosures specifically, you may also have to pay for a property inspection (which will be required by a lender or is a good idea still if you’re buying with cash), additional legal or appraisal fees associated with foreclosure sales, and any back taxes owed on the property.
These can include appraisal fees, attorney fees, title search and insurance costs, transfer taxes or recording fees.
These vary greatly depending on the state where the home is located and the foreclosure process laws governing it.
Free Foreclosure Websites
Let’s get to the meat and potatoes.
The good news is that there’s really no reason to pay to find foreclosed properties unless you’re looking to do so en masse and pull large lists for marketing campaigns.
Here are the best free sites where you can quickly and easily find foreclosures.
The U.S. Department of Housing and Urban Development (HUD) provides a website (hud.gov) that you can use to search for properties that have been foreclosed upon by the federal government. You can filter your search results by property type, number of bedrooms and bathrooms, and other criteria. You can also view detailed information about each property, including photos and property characteristics, by clicking on the property’s listing.
The USDA Rural Development (RD) and the Farm Service Agency (FSA) offer a website (USDA-RD/FSA Properties) where you can search for properties that have been foreclosed upon by the government and are now available for sale.
3. IRS Seizures
The Internal Revenue Service (IRS) seizes properties from individuals and businesses that have failed to pay their federal taxes. The properties are then sold to recoup the owed taxes. You can visit their website to see the properties they have available.
Equator.com is a popular real estate website that provides information on foreclosed properties, including those that are available for sale. It lets you search for foreclosed properties in specific zip codes, giving you access to a variety of different homes.
HomePath is a program offered by Fannie Mae, a government-sponsored enterprise, that provides information on properties that have been foreclosed upon and are now available for sale.
HomeSteps is a program from Freddie Mac, and it offers foreclosure properties for sale across the United States.
Zillow is one of the most popular real estate websites, and it also provides a foreclosure center where you can search for properties that have been foreclosed upon.
Realtor.com is a popular real estate website that provides information on foreclosed properties. You can use the site to search for foreclosure listings in specific zip codes and counties as well as access detailed information about each listing, including photos and property characteristics.
Bank of America is one of the largest mortgage lenders in the United States. As such, it also owns a large number of properties that have been foreclosed upon. You can visit its website (BankofAmerica.com) to search for these properties and learn more about them.
Auction.com is an online platform that hosts auctions for properties that have been foreclosed upon and are now available for sale. You can search the site to find foreclosures in specific areas and access detailed information about each property, including photos and property characteristics.
Wells Fargo is another large mortgage lender in the United States. It also owns a number of foreclosed properties that are now available for sale. You can visit its website (WellsFargo.com) to search for these properties and learn more about them.
CitiMortage is a popular mortgage lender in the United States. It also owns a number of properties that have been foreclosed upon and are now available for sale. You can visit its website (CitiMortgage.com) to search for these properties and learn more about them.
RealtyBid.com is an online auction platform that offers foreclosed properties for sale. You can search the site to find the right property, view detailed information about it, and even place bids on it if you are interested in purchasing the property.
Fifth Third Bank is another large mortgage lender in the United States. It also owns a number of properties that have been foreclosed upon and are now available for sale. You can visit its website to search for these properties and learn more about them.
16. Huntington REO
Huntington is a mortgage lender that offers online access to foreclosures. Their REO (Real Estate Owned) portal allows users to search for properties in all 50 states.
RealtyTrac is another free site that provides access to property information, including foreclosures and pre-foreclosures. They have millions of properties from all 50 states in their database and offer detailed reports on each one.
Foreclosure.com is one of the leading free sites for finding foreclosures. They offer detailed foreclosure property reports, with information on recent sales history and estimated property values. Plus, they offer a variety of tools and resources to help you stay up-to-date with the latest news in your area.
Paid Foreclosure Websites
Maybe you don’t want to just find a few properties here and there… maybe you want to pull large lists and send mailers to owners of pre-foreclosed properties. Or maybe you just want access to larger pools with more accurate and updated information. Here are some paid options when you’re looking for foreclosed properties.
Propstream is one of the top data providers for real estate investors in the U.S. They offer up-to-date and accurate U.S. foreclosure listings with some of the most comprehensive search criteria available. You can search by specific cities/zip codes, property type, price range, sale date and more.
20. Property Radar
Property Radar is a comprehensive data provider that allows you to search for properties by address, city/zip code, county or radius. They also provide nationwide foreclosure auction data, access to public records, and more. You can also utilize their advanced search tools to find properties that meet your specific criteria.
No matter which method of finding foreclosure listings you choose, it’s important to do your due diligence before making any real estate investment.
Research the property thoroughly and talk with a lender or real estate professional to ensure that investing in a foreclosure is right for you. Additionally, use caution if paying for access to foreclosure information as there are plenty of free resources available.
With a little bit of research and the right resources, you can easily find foreclosure listings without spending any money.