While real estate business is done with the sole motive of earning profit by the developers and builders, the buying and selling of foreclosure properties involves resolving a problem of unfortunate borrowers who could not retain their dream property due to various reasons. In the real estate business earning profit is the sole motive while in foreclosure properties it is the service to the distressed and also relieving the financial institution which is anxious of its assets with growing uncertainty on realization of its loans. The properties under real estate business are mostly in developing or in yet to develop localities, the properties under foreclosure are from already developed localities. The rates of properties in real estate business are highly volatile and subject to higher revision according to demand and supply, fantasies of these businessmen, and ever changing political scenario whereas in the case of foreclosure properties only the interest portion gets on adding to the reserve price. The genuineness of the properties under foreclosure are vouchsafed by the very fact that they have been cleared by many agencies like Legal attorneys, Local bodies even before a loan was obtained on these properties whereas properties under real estate have to be thoroughly checked by the buyer at his risk. By choosing to buy a foreclosure property the buyer not only gets a property for a discounted price he is able to serve the borrower in as much as relieving him of his life long headache and the financial institution who can be relieved of the complicated legal formalities to realize its loan and help it concentrate on its core activity of improving business and there by serve the people more effectively.