San Diego foreclosure properties come up for sale when the property owner who has a taken a loan or mortgage on the property is unable to repay the loan and the lending company takes possession of the house and puts it up for sale. Foreclosures are usually distress sales made because of the inability of the owners to repay the San Diego mortgage taken by them. It is essential for you to understand the process of foreclosures, and what steps you need to take at different times of the process to make a successful investment in a foreclosed property which usually sells up to 50 to 20 percent cheaper than its list price.