Whether you're looking for a new home for your family, a rental income property, or a house that you can fix up and rent for a quick profit, properties that have been repossessed by banks or government organizations offer investors an opportunity to pick up properties at substantial discounts and it's easy to find foreclosure houses for sale if you know where to look.
When most people hear the word foreclosure they probably think of bank owned properties known as REO's. REO stands for real estate owned and these are properties in which the banks have lent money and property owners have defaulted on their loan payments. To find bank REO's you can contact a number of local real estate agents until you find one that specializes in bank owned properties.
Banks are not the only institutions that end up owning unwanted real estate. There are a number of government agencies that end up with properties for sale for one reason or another. The IRS will sometimes have properties for sale that have been confiscated in order to pay tax bills. County governments in some states will repossess houses when people fail to pay their property taxes.
A good source of government foreclosure houses for sale is the VA, or the Veterans Administration. The Veterans Administration gives loans to people who serve or have served in the military and they do so at favorable interest rates, often with low down payment requirements. Unfortunately some of these loans go into default and then the VA would take back the property in order to sell it and recoup some of their losses. Some time spent searching online for VA foreclosures could uncover some great investment opportunities.
Another great source of government foreclosure houses for sale are HUD homes. HUD stands for the Department of Housing and Urban Development. The FHA or Federal housing administration insures loans from banks and when people default on a loan insured by the FHA the Department of Housing and Urban Development takes ownership of the house and is responsible for then selling these properties. There are some real estate agents that specialize in HUD homes and you can also find quite a bit of information about these homes by doing a little research on the Internet.
You could spend all your time contacting various banks and government agencies to get information about any possible foreclosure houses for sale or you could also find several real estate agents that specialize in some of the different types of foreclosures but they're also a number of inexpensive services that compile all of this information for you. The services put together a list of all the different types of foreclosures from bank REO's to government owned properties and even some private auctions. For a small fee, these services will compile a comprehensive list of investment opportunities that is far greater than you can possibly uncover on your own. It is also a huge time saver to have a service supply you with a list of investment opportunities so that you could spend your time looking at individual properties and making offers rather than tracking down the opportunities in the first place. The services are thorough and inexpensive and many of them even offer a trial period and have a full moneyback guarantee.