Pre-foreclosure pros and cons

[Mark Csongradi]

Hi all,

I have been researching the topic of pre-foreclosure property purchase, but I'm seeing very different, sometimes contradicting information out there. To clarify, I'm specifically referring to the period of time when the owner already missed their payment and received their notice from the bank but they haven't gone under foreclosure/auction. I am hoping you guys can help me out:

What are the main advantages and disadvantages of buying pre-foreclosure?
What are the caveats of the process that the buyer needs to pay very close attention to?
Is the buyer able to conduct any inspections, or do they have to buy as is?
Does it need to be a conventional purchase or can the deal be a sub to, or loan assumption?

Thank you so much in advance!