Foreclosures - America's Newest Land Rush

By Joanne Bingham

In the United States, the economic crisis is only continuing to get worse. Bank foreclosures and pre-foreclosures are at the highest number since the time of the Great Depression, and contribute to over 40% of the houses currently sold. Every day we hear on the news about another bank failing and the government debating on whether or not to bail them out. So many Americans are losing their homes and having their dreams crushed.

So what happens to homes after they're foreclosed? Obviously, someone else will gain from another's loss, which means that some good can come from this crisis. Foreclosed homes are usually sold at auctions for factions of their worth. Lenders will allow the foreclosed homes to sell well below market value, just to quickly recover any loaned amount possible. This can be a good thing for others, including first time buyers and low-income families, who are looking to purchase a home for investment or to reside in. Also if you're buying a foreclosed home the bank will be more accommodating, if you have good credit, as they would prefer a mortgage payment rather then leaving the home abandoned.

Sometimes the owners will get permission from the bank to go ahead and sell their homes before facing foreclosure. This period of time is referred to as 'pre-foreclosure.' The pre-foreclosure period will give the owners some time to sell the house themselves before it's officially foreclosed by the banks. Usually the public is notified of the homes facing foreclosure, and interested buyers can sometimes work out a pre-foreclosure deal with current owners.

Needless to say, there are also opportunities to profit from buying both bank foreclosed and pre-foreclosed homes. Many people who have never had any interest in real estate before are now buying these homes and reselling them for great profits. Foreclosed homes can sometimes be sold for as much as 75% off of their market value. Imagine how much money a person could make by buying even just one foreclosed home and reselling for 100% profit. It happens to people that are willing to take action every day. How are these people finding out what homes are going to be sold at government auctions?

Details about pre-foreclosed homes and foreclosed homes can be found on the Internet. There are a lot of government auction sites that provide information on homes facing foreclosures in every state. Unfortunately, there are some sites that are misleading the public, so you need to be informed when you sign up for a membership. Thankfully, there are legitimate government auction sites that provide detailed information about home foreclosures. So how can we know which sites are worth the membership and which ones are not.

Government auction 'review' sites contain detailed analysis on the best government auction sites. The reviewers test government auction membership sites with certain criteria, and post the details online for the public. Government auction reviews are very interesting to read, and will provide valuable knowledge in helping with Government Auctions sites are worthy of your time and which are misleading.

If you feel that you're interested in seeing what opportunities exist in foreclosed property, you should read reviews on the top government auction websites so you'll know which memberships you can trust. All you have to do is:

- Read reviews of the top sites at a free government auction review site

- Visit and join a recommended government auction membership site

- Check out all the detailed foreclosure listings until you discover a selection of homes that you like in your price range

- If possible visit the properties of interest a then attend a government auction in your area - 23210

About the Author:

For free reviews on the best foreclosure auction sites and which ones to stay away from visit government auctions review or go direct to foreclosures