1. Confirm the sale details
A few days before the sale — and again the day before — contact the foreclosure attorney listed on the property page.
- Is the sale still going forward, or has it been postponed or cancelled?
- What is the opening bid (if not already advertised)?
- Exact time and location — courthouse steps, a specific entrance, or an online platform?
- Required payment form and deadline (certified funds, cashier's check, wire)?
- Any registration or deposit requirements for online platforms?
2. Investigate title
A foreclosure sale generally wipes out liens recorded after the security deed being foreclosed, but not everything. Senior mortgages, property taxes, certain government liens, and some HOA assessments may survive.
- Order a title search from a title company or real estate attorney.
- Confirm the position of the loan being foreclosed — is it a first mortgage or a second?
- Review the liens and lis pendens listed on the property page, then confirm them in the title report.
- Federal tax liens can give the IRS a 120-day right to redeem the property after the sale.
Tip: If the loan being foreclosed is a second mortgage, you may be buying the property subject to the first mortgage — factor that full balance into your bid.
3. Check property taxes
Unpaid property taxes stay with the property. Review the Tax Assessor Record, then check the county tax commissioner for any delinquent years, penalties, or pending tax sales.
4. Understand the condition limits
Foreclosure properties are sold as-is, usually without an interior inspection. Plan for the unknown.
- Drive by during daylight to check the roof, foundation, windows, and signs of vacancy or occupancy.
- Use Street View and aerial views on the property page to check the lot, neighbors, and access.
- Never enter the property or disturb occupants — it is not yours until the deed is recorded.
- Budget a meaningful contingency for hidden repairs such as plumbing, electrical, HVAC, and mold.
5. Plan for occupancy
If the home is occupied after the sale, you may need to go through a dispossessory (eviction) process in magistrate court. Tenants may have rights under their lease. Build the time and legal cost into your plan, and consider a respectful cash-for-keys offer.
6. Build and record your budget
Write your numbers down before sale day so emotion doesn't set your bid.
- After-repair value (ARV) based on nearby comparables.
- Repair estimate plus a 10–20% contingency.
- Surviving liens, back taxes, and HOA dues.
- Holding costs: insurance, utilities, taxes, and financing.
- Closing, legal, eviction, and resale costs.
- Your target profit — then calculate the maximum bid that still works.
7. Sale day
Arrive early for in-person sales, or log in early for online auctions. Bring your funds in the required form, valid ID, and your written maximum bid. Stick to it — the most expensive mistake at auction is chasing a property past your number.
8. After you win
Pay according to the sale terms, then follow up with the attorney on the deed under power of sale and its recording. Get insurance in place immediately, secure the property once you legally can, and handle occupancy through the proper legal process.
Quick checklist
Run through this list for every property on your shortlist.
- ☐ Sale still active — confirmed with attorney
- ☐ Opening bid confirmed
- ☐ Payment form and deadline known
- ☐ Title search ordered and reviewed
- ☐ Taxes and HOA dues checked
- ☐ Drive-by completed
- ☐ Occupancy plan in place
- ☐ Maximum bid written down