Investors know that buying bank owned MS foreclosures can be very profitable because the lender is highly motivated to sell the distressed properties to convert them in to cash. However, it is vital for investors to be knowledgeable about certain things to avoid serious errors that could lead to a loss instead of a profit. First of all, it is vital for the investor to be familiar with the market values and trends for the community where the property is located. It is also important to properly assess the condition of the home and how this will affect its price.