A word for investors in foreclosed property--AUCTION! As more and more properties are lost to foreclosure, the repossessing lenders are having to find new ways to dispose of the properties they now own. Though most will initially be listed for sale by Realtors and made available for sale in the traditional way, as more and more of these fail to sell as quickly as the owning lenders desire, many are being packaged and turned over to professional auction firms for sale in huge bulk auctions. Lasting usually 1 or 2 days, a typical auction will dispose of many hundreds, sometimes thousands of properties, often a rate of one home every two minutes. Financing is often available at the site of the auction for the winning buyer/bidder. When you attend, be prepared for a mind numbing cacophony of noise as the bidder and auctioneer's voices are amplified throughout the (usually) huge hall. Also, have at least 10% of your purchase price on hand as a down payment (amounts vary with each auction and its ground rules).
These auctions, unlike the traditional foreclosure public auction that reclaims the property for the lender, also have open houses in advance of auction dates so that potential buyers can view and arrange inspections of the property they are interested in.
I recently bid on a house that the former owner paid $790,000 for in July, 2005. Opening bid was $329,000; winning bid was $505,000.Someone got an excellent deal.
There are many firms handling this type of auction for the lenders. One of the best known is Hudson & Marshall. You can find them online.