How to buy a foreclosed home

FHA loans allow 100% down payment gifts Low-down-payment loans also allow cash gifts for down payment. For example, the FHA mortgage, which requires a 3.5% down payment allows cash gifts; and, so do the conventional 97 mortgage and the.

Buying a foreclosed home can be a great way to invest in real estate, especially since there is substantially less competition than buying listed homes. That being said, there are also more risks involved. It is a good idea to speak to an attorney and research your local laws beforehand.