How to Find Foreclosures: 6 Steps to Finding Auction Properties

• Pre-Foreclosure: The owner is behind on payments but still holds the title. These properties are often found before an auction and may allow for negotiation.

• Auction (Trustee or Sheriff Sale): The property is sold at public auction, usually requiring cash or hard money financing and fast closings.

• REO (Real Estate Owned): The property did not sell at auction and is now owned by the bank. These are typically listed with agents.

        Investors targeting auctions should focus on trustee sales and sheriff sales, where discounts can be deepest — but due diligence is critical.

            2. Search County and Public Records

        One of the most reliable sources for foreclosure leads is local county records. Foreclosure filings are public information, and most counties publish them online.

        Look for:

• Notice of Default (NOD)

• Notice of Trustee Sale

• Lis Pendens filings

        These notices tell you which properties are headed to auction, when the sale is scheduled, and who the trustee or attorney is. While this method takes time, it gives you direct access to properties before they become widely marketed.

            3. Use Foreclosure Listing Platforms

            Several online platforms aggregate foreclosure and auction data, saving investors hours of research. These tools can help you filter by:

• Location

• Property type

• Auction date

• Estimated value vs. loan balance

        Popular foreclosure platforms like Auction.com and Xome.com are widely used by investors to track upcoming auctions, review property details, and monitor bidding activity. In addition to national platforms, local county courthouse websites and trustee offices remain one of the most accurate sources for auction schedules and foreclosure filings. Many experienced investors use a combination of online platforms and direct county data to cross-check information and stay ahead of competitive markets.            

        While many platforms require a subscription, serious investors often find the cost worthwhile for speed and organization. Just remember: these sites provide leads, not guarantees. You’ll still need to verify all information independently.

            4. Attend Auctions (Online and In-Person)

        If you’re serious about buying foreclosure properties, watching auctions is part of the learning curve.

        Attend a few auctions without bidding to:

• Understand the bidding process

• See how competitive certain markets are

• Learn pricing behavior from experienced investors

        Many auctions are now conducted online, which expands access but also increases competition. Know the rules ahead of time — including deposit requirements, payment timelines, and what happens if you win.

            5. Do Your Due Diligence Before Bidding

        This step separates profitable investors from expensive mistakes.

        Before bidding, make sure you:

• Research estimated after-repair value (ARV)

• Review title risks (liens, taxes, HOA dues)

• Understand occupancy status

• Estimate renovation costs conservatively

        Auction properties are typically sold as-is, with limited or no access for inspections. You must be comfortable making decisions with incomplete information — and price that risk into your numbers.

            6. Line Up Financing Before the Auction

        Foreclosure auctions move fast. If you don’t have funding lined up, you will miss opportunities.

        Most auctions require:

• Immediate deposits

• Short closing timelines

• Non-refundable funds if you fail to close

        This is where hard money and bridge financing often come into play. Being pre-approved allows you to bid confidently, move quickly, and compete with cash buyers.

        At MK Capital Funding, we work with investors to review deals, assess leverage, and structure financing so you’re prepared before auction day — not scrambling after.

        Final Thoughts

        Finding foreclosure and auction properties isn’t about luck — it’s about preparation, consistency, and having the right team behind you. The investors who succeed in this space are the ones who:

• Know where to find deals

• Understand the risks

• Run numbers carefully

• Secure financing early

        If you’re exploring foreclosure auctions or want help reviewing a potential deal, MK Capital Funding is here as a resource. Think of us as part of your investment team — helping you prepare, evaluate, and execute with confidence.

        Rates, terms, and leverage depend on credit, experience, liquidity, and the specifics of each deal.