Lenders hanging onto real estate are setting themselves up for a painful snap. It might be a good time to short the stocks of these lenders. Personally I wouldn’t buy from a lender or at a foreclosure auction because the sale is as-is and they don’t have to disclose anything. You might get 20% off the price compared to similar houses but after you repair all the damage done by vandals you save only 10%. You could get get 10% off dealing with a motivated conventional seller and get a nice house without the legal strings.