Most people wouldn’t consider starting their search for a new home or a great real estate investment by looking at what properties the government has to offer. But surprisingly the Department of Housing and Urban Development is a terrific resource for bargain homes across the country. HUD offers homes for sale through a number of departments, including the IRS and Veterans Affairs, even Customs. Government foreclosure information is readily available on the Internet, both from government websites and other online resources.

Among the many services the department of Veterans Affairs provides to veterans, one of the most popular is guaranteeing home loans. Unfortunately, veterans experience the same financial hardships as so many other Americans do. When a home loan backed by the VA goes into default, the government will offer the homeowner a "deed in lieu of foreclosure". This means the VA buys the loan from the lender and the homeowner relinquishes ownership of the property.

Unlike a tax lien property that is sold at a public auction, VA foreclosures are sold through a network of government approved real estate agents and websites. Anyone can purchase a VA foreclosure, you do not have to be a veteran to qualify. VA foreclosures can be found through the standard MLS listings and offers must be made through a qualified agent using government forms. Because the VA has little interest in holding onto the properties, homes can often be found for well under market value.

For those looking for investment properties there are a number of government foreclosures that offer significant savings on all kinds of single and multifamily homes. A good place to start the search is with HUD or to find a real estate agent experienced in government foreclosures. Another good way to learn about how to buy a government foreclosure property is to attend a public auction. Check with your local city or country agencies for auction dates.