Foreclosures are homes that are owned by the bank, these are also termed as REO (real estate owned) or “lender owned homes” in Irvine. This can be a smart way to purchase as banks are don’t want to own real estate, they want people to pay them for real estate. So they are often times willing to sell these homes for much less than what they are valued so that they can get the money from interest on a mortgage, or just to cover their losses on the previous mortgage that defaulted.
For example, at this current time the median cost of a normal home in Irvine is right around $600,000. If you want to buy a foreclosed home, you are going to be looking at $399,000. So how about saving yourself $200,000, and a ton of money on monthly mortgage payments (which you can pay off much sooner, and ultimately save much more than $200,000). There are only under 100 homes in this category in Irvine right now.