When most people hear “foreclosure,” they think of a single process—but in reality, foreclosures come in different forms. Understanding these variations can help buyers, investors, and even industry professionals recognize opportunities and risks more clearly.

Key Types of Foreclosures

Zombie Foreclosures

These are abandoned homes caught in legal limbo—owners are gone, but the bank hasn’t completed the process. They often sit vacant, waiting for resolution.

Judicial Foreclosures

Handled through the court system, judicial foreclosures can take years to complete, depending on the state.

Non-Judicial Foreclosures

The most common and often fastest type—these don’t go through court, making timelines shorter and more predictable.

Strict Foreclosures

Less common, this happens when a lender sues a homeowner in default and, through the court, takes possession without an auction.

Auction Foreclosures

Trustees hired by lenders may auction the property publicly, with proceeds going toward the unpaid loan balance.

Why This Matters

For buyers, knowing the type of foreclosure can influence how quickly a property comes to market and how competitive the process may be. For real estate professionals, it’s critical knowledge that helps you guide clients and position yourself for success in distressed property markets.

At REOX, we believe education creates opportunity. The more you know about how these processes work, the better equipped you are to serve clients, communities, and investors.