In St. Louis, bank-owned homes are selling at a median price of $70,246, a 53 percent discount to the overall median sales price of $150,000 for the market. St. Louis’ housing stock includes more than 1.22 million homes.

In Philadelphia and the surrounding metro area, bank-owned homes currently sell at a discount of 54 percent to the overall median home price, or for about $91,000. The area’s housing stock includes approximately 2.43 million homes.

Detroit has been experiencing a renaissance lately, so this may be a good time to invest in foreclosed homes in the area, where they currently sell at a 55 percent discount to the overall median sales price, or $58,000. There are about 1.887 million housing units in the Detroit metro market.

Bank-owned homes in the Columbus area are also selling at a discount of 55 percent, or about $68,788 compared to the overall median home price of $153,900. The city has a housing stock of about 824,286 units.

In this Southern city, foreclosed homes are selling at a discount of 56 percent, or for about $64,000. The housing stock in the Birmingham-Hoover area is also the lowest on this list, at 501,131 units.

Cincinnati is an up-and-coming Midwestern industrial market due to a thriving economy and diverse industrial base of advanced manufacturing, automotive and e-commerce, which got a boost in 2017 by landing Amazon’s only U.S Prime Air Hub. The region has experienced rent gains of 8.2 percent annually for the last five years, which generated 3.6 million sq. ft. of new product deliveries last year, with another 4.5 million sq. ft. under construction at the end of 2017. Even so, vacancy averaged just 4.2 percent at year-end, with absorption of 5.1 million sq. ft. outpacing new supply. 

An international distribution hub and global supply-chain center, Memphis has infrastructure second to none. This includes the nation’s largest cargo airport, five Class One railroads, 490 trucking terminals and 11 highways. Additionally, the International Port of Memphis, which sits on the Mississippi River, is the fifth largest inland port in the U.S. and feeds cargo to the region’s large rail network that includes nine rail yards. Occupies have access to a local population of 1.5 million and more than 17 million consumers within 250 miles. As a result, this industrial market has experienced high leasing and development activity over the past six to twelve months, with absorption of 5.5 million sq. ft.

There was a 1.0 percent increase in homes sold for investment purposes in the city.

Cleveland-Elyria is another market where bank-owned homes are selling at a discount of 59 percent to the overall median sales price, or for $47,900. There are 954,574 existing housing units in the area.

Pittsburgh takes first place for the biggest discount on foreclosed homes in a sizeable U.S. city, at 63percent, amount to a median sales price of only $48,180—also the second lowest sales price on our list. This city with more than 2.35 million inhabitants has a stock of approximately 1.1 million housing units.