If you are looking to buy a home but are worried that you can't afford monthly payments, why not consider a foreclosure as your first home?

A foreclosed home is usually owned by a bank or lender and sold at prices way below its market value. Who knows, you may just hit the jackpot by purchasing a residence that would have been out of your price range. 

Here are the top reasons you should consider foreclosed properties as a first-time buyer.

How Buying a Foreclosure Works

A foreclosure happens when a borrower fails to pay their monthly payments. The lender then exercises his right to seize the property and resell it to recover or reduce its financial losses.

Foreclosed properties are usually put up for auction, which means that lenders