How to Find and Negotiate the Best Deal on Foreclosures, Fixer-Uppers, and "Don't Wanters"
- Wayne Turner
- Jul 15
- 7 min read
If you've ever assumed a foreclosure automatically means a great deal, you're not alone — and you're not entirely right either. After nearly 30 years buying, flipping, and selling real estate, I can tell you the best deals aren't always where people think to look. Let's talk about how to actually find foreclosures, and how to negotiate once you do.
Time on Market Is Everything
A foreclosure that just hit the market usually isn't ready to negotiate yet. Banks give it time to "season" — to see if a buyer will pay close to asking price. But once a property has been sitting for 30, 60, 90, or 120+ days, banks become a lot more willing to talk numbers. If you find a bank-owned home that's been listed for four months or more, don't be afraid to offer 20-30% below asking.
Just know going in: banks move slowly. Offers on bank-owned properties usually go through a portal, and it can take three to four days just to get a response — and often that response is a flat rejection rather than a counteroffer. That means you may have to submit more than one offer before you land somewhere both sides can live with. Patience is part of the strategy.
The Hidden Deal Most Buyers Miss: "Don't Wanters"
This is a term you won't find on most listing sites, but it's one of the most useful concepts in real estate investing. A "don't wanter" is a property that's been sitting on the market for six months or longer — sometimes over a year. We call the really stubborn ones "birthday homes," because they've literally had a birthday on the market.
The trick is that a home's listing history can be reset. A property might have been listed for six months with one agent, gotten a price adjustment, and relisted with a different brokerage — making it look brand new when it's really been sitting for the better part of a year. A good local agent can pull that full history for you and show you exactly how long a property (and its seller) have really been waiting for a buyer. That's leverage.
Where to Find Foreclosures, Estate Sales, and Fixer-Uppers
Foreclosures are usually easy to spot because listing agents are required to disclose that status. Estate sales and fixer-uppers are a different story — there's no search filter for either one.
Estate sales are homes where the owner has passed away and the family is liquidating the property. Because the home was never their personal residence, buyers can often negotiate better because there's less emotional attachment on the seller's side — plus these homes frequently need some updating, which opens the door for a lower offer.
Fixer-uppers aren't always foreclosures, and foreclosures aren't always fixer-uppers — they're two separate categories that sometimes overlap. Since there's no simple filter for either, your best bet is working with a top local agent who knows how to read between the lines of a listing and spot these opportunities before most buyers do.
Get Your Financing Ready Before You Start Looking
Here's something that trips people up: getting approved for a loan has nothing to do with the specific house you end up buying. Buying real estate isn't like buying a car — a lender approves you, based on your income, assets, cash reserves, and credit, before you ever pick a property.
Once you have that approval letter in hand, it functions like cash in a negotiation. Sellers want to see proof you can actually close. If you're paying cash, be ready to show proof of funds — sellers (and their agents) will ask, and they should.
Why Closing Fast Wins Deals
If you have an approval letter and the property is vacant — especially a foreclosure or a "don't wanter" — offering a quick close (say, two weeks) can make your offer significantly more attractive, even if it's not the highest one on the table. Vacant homes cost sellers and banks money every month they sit unsold, so speed has real value.
One important note: closing fast doesn't mean skipping your inspection rights. Buying a home "as-is" means you accept its condition after closing — it doesn't mean you give up your right to inspect it first. Negotiate at least 14 days for inspections if you can, since a general home inspection alone won't cover everything.
Don't Skip These Inspections
A standard home inspector won't check everything a fixer-upper, foreclosure, or older estate-sale property might need. Depending on the property, consider:
General home inspection — the baseline. Money well spent, every time.
Mold inspection — critical if the home has ever flooded, caught fire, or lost power for an extended period in warm weather. Mold can set in within 24 hours under the right conditions and can cause serious health issues.
Septic inspection — confirms the system is functioning properly, not just present.
Well inspection — checks both water quality and the condition of the pump itself.
Termite inspection — termite damage can be extensive and isn't always obvious.
HVAC inspection — especially important on winterized homes, where systems may have been sitting unused.
Plumbing/camera inspection — a scoped camera run through the drains can reveal cracks, breaks, or root intrusion that wouldn't otherwise show up.
If an inspection turns up problems, you have options: negotiate for the seller to make repairs before closing, or negotiate a credit. Just know the type of loan you're using affects what's allowed — FHA and other government-backed loans permit seller credits toward closing costs and prepaids, but not direct cash payments to the buyer.
One more winterization note: if a bank won't allow you to "unwinterize" a property before purchase so you can test the plumbing, think carefully before moving forward — you're taking on real risk if you can't verify the pipes are intact.
Get a Survey Before You Assume Property Lines
Fence and boundary disputes are more common than people think. If a shed, fence, or structure might be encroaching on a property line, get a survey — or pull a previously recorded one from your county clerk of court's office. A licensed surveyor locates the property pins (sometimes buried several inches to a foot underground) and marks the true boundary. Costs vary widely, from a few hundred dollars for a simple lot to several thousand for larger acreage. If a seller won't split the cost with you, you can still order one yourself — and if the deal falls through, you're only out the cost of the survey, not the whole purchase.
Negotiating Price: Why $10,000 Isn't as Scary as It Looks
It's easy to get stuck on a number during negotiations, especially with a home you're emotionally attached to. But here's the math that helps put it in perspective: on a 30-year mortgage, every $100,000 borrowed runs roughly $600/month in principal and interest at a 6% rate (before taxes and insurance). That means $10,000 in negotiating room often works out to somewhere around $60/month — a much smaller number than it feels like at the closing table.
Keep in mind, if you put down less than 20%, most lenders will also require mortgage insurance (MIP), which protects the lender in case of default.
Seller-Paid Closing Costs Can Cut What You Need Upfront
Many buyers assume they need a full 7% saved — 3.5% for a down payment plus 3.5% for closing costs — before they can buy. But sellers can often cover up to 3.5% of your loan amount in closing costs, which can cut what you need to bring to the table substantially. Just understand that seller-paid costs are effectively financed into your loan amount, not free money — but it still means less cash out of pocket on closing day.
Consider a Home Warranty
A home warranty typically runs $600–$1,200 depending on the size and type of property, and covers major components like water heaters, HVAC systems, and other big-ticket items if they break down after closing. Service calls usually run $50–$100. It's not required, but for many buyers — especially on older or fixer-upper properties — it's inexpensive peace of mind.
The Bottom Line
Buying real estate is one of the most stressful financial decisions most people will make, largely because of the unknowns. But the more you understand about how foreclosures, estate sales, and "don't wanters" actually work — and the more prepared you are with financing and the right inspections — the more confidently you can negotiate.
If you're ready to find deals like this in your own market, connect with a local agent through Wayne Turner who can help you locate estate sales, fixer-uppers, and motivated sellers before most buyers even know they exist.
Frequently Asked Questions
What is a "don't wanter" in real estate? A "don't wanter" is a property that has been on the market for six months or longer — sometimes over a year — indicating a highly motivated seller who may be open to a significant price reduction.
Is a foreclosure always a good deal? Not automatically. Freshly listed foreclosures are often priced to test the market. The best negotiating leverage typically comes after a property has sat for 90+ days.
Can I still get a home inspected if I'm buying "as-is"? Yes. Buying "as-is" means accepting the home's condition after closing — it does not waive your right to inspect the property beforehand unless you specifically choose to waive that right.
What inspections should I get beyond a general home inspection? Depending on the property, consider mold, septic, well, termite, HVAC, and plumbing camera inspections — especially on foreclosures, winterized homes, or older estate-sale properties.
Can a seller pay my closing costs? Yes, sellers can often contribute up to 3.5% of the loan amount toward a buyer's closing costs, which reduces the cash needed at closing (though it's effectively financed into the purchase price).
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