Are foreclosure prices real and are they negotiable

On this #WordWednesday, we will address the question: Are foreclosure prices real and are they negotiable?

The foreclosure price is technically called a "credit bid". And no, it is not negotiable. It's the set price that the bank is willing to buy back the "asset". If no one bids higher during the foreclosure auction, then that is the price they purchase it back at. And it's not always the full value of the loan.
What I've noticed in calling sales is that it's often a percentage of the debt - maybe 30% or 70% or more. When the credit bid is exact, such as $37,546.31, then that is the total debt.
A sale of the total debt doesn't necessarily mean that people don't want the property. We still see buyers for those credit bids with exact numbers because it all depends upon condition and the value of the property.
People often ask "Are there good deals?" Well yes, it all depends upon what 'a good deal' means to you though. Remember that different exit strategies work well for different types of properties.