The state of Washington allows lenders in Seattle and other cities to sell properties through the process of foreclosure. This process is used when a home owner goes into default on a mortgage loan. The lender starts the process of selling Seattle foreclosures by giving public notice of the sale. Those seeking to look for good real estate deals can then place the highest bid at the public auction to buy foreclosed homes in Seattle.
Look in Seattle or other King County newspapers to find foreclosure listings. You may have to look in several newspapers to find all foreclosed properties in the Seattle area. Aid your search and save money by looking online for foreclosure notices. For example, USNPL has a list of newspapers for Oregon and other states that publish their newspapers online. Look through the Seattle-area newspapers to search for Seattle foreclosure notices.
Look at the foreclosure listings to get the time, date and place of the various Seattle foreclosure auctions. The general rule in the state of Oregon is that foreclosure sales run on Fridays between the hours of 9 a.m. and 4 p.m.
Make a list of properties that suit your needs and then come up with a maximum bid for each of those properties. Set your maximum bids below the fair market value of each Seattle foreclosure. This is the strategy that foreclosure buyers use to get good deals and often resell the properties for a profit or at least get a cheap home. Seattle-area agents or appraisers can be good sources of information for estimating the fair market value. Of course, you should also go and actually see the lot where the foreclosure is located to make sure there are no red flags (pollution, crime, etc.).
Figure out how to bid and pay by looking at the Seattle listings of foreclosure sales. The lender will decide whether to accept cash or other forms of payment. In some cases, a Washington lender may even demand full payment on the day you buy a Seattle foreclosure. Make sure you have the full amount of your bid in the bank before participating in an auction.
Head to the auctions and bid to buy foreclosed homes and land. Pay any necessary deposits and additional payments. Always make sure that you can easily contact the trustee conducting the foreclosure sale in case you have problems or concerns.
Get a Washington property deed from the seller after completing the purchase. When buying a foreclosed home in Seattle, go to the King County recording office for real-property records to file your deed. Do this as quickly as possible to protect your interest in your new Seattle foreclosed property.
Foreclosure.com: Washington Foreclosure Laws