There's 11 days left to claim the government's home buyer tax credit and if you're among the thousands of buyers with their sights on foreclosures, the timing may be perfect.

257,000 New Bank REOs Since January

Through the first 3 months of the year, banks have reclaimed more than 257,000 homes -- an all-time quarterly record, according to RealtyTrac. However, your ability to find a foreclosed home in your area depends on where "your area" is.

Foreclosures are disproportionately distributed.

On a per household basis, Nevada leads the nation by far. Its foreclosure concentration is more than 4 times the national average and two times as high as the next two states on the list -- California and Arizona. Florida is only a hair behind.

Clearly, buying REO in these states will give you more product from which to choose, but there's ample supply in Ohio and Illinois, too.  Both are pacing just short of the 1-per-352 households national average.

Buying REO Ain't All Sunshine And Flowers

Regardless of where you’re buying, foreclosures and REO are making a profound impact on pricing and product. There’s excellent value if you know where to look, but you also need to know how to look.

A few pointers on foreclosures:

1. Buying bank-owned homes can take 120 days to close or more. This could preclude your ability to claim the tax credit.
2. Foreclosures aren’t always listed for sale publicly. Some inventory is privately-held and requires "knowing a guy".
3. Bank-owned homes are often sold "as is". There may be defects that render the homes mortgage-ineligible.

The REO market is slightly different from the “existing home” resale market. If you have an interest in buying REO, I recommend working with an experienced real estate agent when you're ready to make your bid.

Finding REO Without A Real Estate Agent

Maybe you want to search for foreclosures without the help of a real estate agent.  If you do, my clients have told me that there 3 websites, in particular, that are helpful. Each site offers a free, 7-day pass -- usually enough to help you scout the market.

1. RealtyTrac offers free access to foreclosure listings
2. Foreclosure.com offers free access to foreclosure listings
3. HUDForeclosed.com offers free access to foreclosure listings

And, when you see something you like, then you can talk to your real estate agent about it. Negotiating for a bank-owned home is different from negotiating for a "regular" home.  You're going to want somebody experienced on your side.

Get A Pre-Approval Letter For A Foreclosure

High numbers of REO have created terrific opportunities for buyers. Do your own research search and see you like. Then, when you're in need of a pre-approval letter, call me and I'll take care of you.  I'm experienced with short sales and REOs and would be happy arrange for your mortgage.

My rates are very good and my bank can close loans quickly.

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Dan Green is an active loan officer. Email or call 513-443-2020. Dan is on Twitter at @mortgagereports.