Foreclosures are bank-owned properties, which are often (but not always) priced at a discount to competing listings and can offer significant savings to a savvy buyer. Banks are not in business to own homes and condos and are generally very motivated to sell their foreclosed assets.
Foreclosures have not impacted the DC Condo market like they have in other markets like Las Vegas, Miami and Phoenix. In the District, our developers are primarily building on infill parcels with both and infrastructure like the Metro are already in place. This is in contrast to markets like Las Vegas and Phoenix where developers are pushing outward to create new neighborhoods where land is cheap but little infrastructure is already in-place. The steady and diversified economy here in DC has also helped to limit the numbers of foreclosures impacting our market.
In terms of what DC condo foreclosures are currently available for sale, at the upper end of the market there is a penthouse loft foreclosure available for $899.9K at Murano - A Robertson Development project in the U Street Corridor. In Logan Circle, a Lofts 11 2BR / 2BA unit is available for $639.9K. At the lower-end of the market in Cleveland Park, a 1BR / 1BA foerclosure at Wilshire Park is listed at $250K.
Here is a resource to view active DC condo foreclosures. This resource is updated daily and includes property tax and condo fee information as well.