Financing a Foreclosed Property: Down Payment & Amortization

Most buyers don’t pay foreclosed properties in full cash. You generally have three options: full cash (often the biggest discount), bank financing, or in-house installment offered by the selling bank.

Down payment

Expect a down payment in the 10-20% range, depending on the bank and whether you choose cash, installment, or financing terms. A larger down payment lowers your monthly amortization and total interest.

Monthly amortization

Your monthly amortization depends on the loan amount (price minus down payment), the interest rate, and the term in years. As a rule of thumb, a longer term lowers the monthly payment but raises total interest paid.

Use the amortization estimator on any property page to see an indicative monthly figure before you decide, it’s the fastest way to know if a unit fits your budget.

A note on the numbers

Indicative prices and estimates are starting points; actual bank terms vary and are confirmed during your application. We help you line up the real numbers so there are no surprises.