While there can be bargains by shopping the foreclosure and short sale market, you have to be very careful and patient to actually close a deal on these. 

Problem is your dealing with Corp. mentality and rules and the process is very frustrating and demanding for the normal home buyer who wants to buy a home to live in.  These listing for foreclosures and short sales are designed for investors, not someone who wants to buy a home and move.

What problems you ask?

Well just a few,

1.  They are sold "as is" so you may buy hidden defects and or spend large amounts of money getting the home to a point you would want to live there.

2.   You cannot buy with FHA unless all repairs are completed in advance and the "bank, seller" will do nothing to make it qualify for FHA.

3.  Your required to post larger than normal "ernest money" , usually $1000, against rigid qualifications that can be imposed and cause you to lose your money.   For instance you may have to close before a certain date or re-negotiate or face a penalty and they often cause delays themselves.

4.  Decisions are made by committees so the process of getting responses to offers and questions is very, very slow and often non responsive.

5.  While your awaiting an answer to your offer, you may lose the other option down the street that was a regular owner/seller.

Our advise, unless your an investor and paying cash, stay away from short sales and foreclosures.

Team Stanley