how much money will I need?

[Baran Giredunluoglu]

in my city houses are priced around 60k - 80k. around what price range will i get a foreclosed home in my area. and how much should i set aside for extra closing cost fees and repairs on the property

[Jon Holdman]

I'd usually allocate 2% or so for closing costs. That's just for the actual costs, not prepaids or loan points. Those will vary depending on your loan.

As for rehab costs, who knows. That's like asking "how much does a car cost". I probably wouldn't spend more than $20K to rehab a $60K house, though.

Keep in mind the 70% rule of thumb. More important than what you pay is what its worth. If you're doing fix and flips, or even for buy and hold rentals, you don't want to be all-in for more than 70% of what the house would sell for when its fixed up. If you mean move-in ready houses are selling for $60K, you don't want to pay more than $42K less the required repairs.