You buy the home directly from the homeowner before the bank officially takes it. The owner sells it for less than what they owe on the mortgage, but the lender must approve your offer, which can take months.
Banks generally will not make any repairs. What you see is exactly what you get, including potential hidden damage. can i buy a foreclosed home
Is Buying a Foreclosed Home Right for You? A Guide to the Process You buy the home directly from the homeowner
Here is a blog post summarizing what you need to know, from the different ways to buy to the potential pitfalls. can i buy a foreclosed home