It's common to see multiple offers on a foreclosure property. Depending on who the bank, asset manager, or liquidation company is that has control of the listing, things are handled in different ways. Each way is sloooooowww.

These foreclosures can be the most stressful for an owner occupant buyer because they are usually one of the best deals (on paper, which means uninspected). They know their competition isn't just other buyers, but investors paying cash so they can flip the home or turn it into a rental property. Is it fair?

Some types of foreclosures give "preference" to the owner occupant. I use quotations because I don't believe it gives the owner occupant a real advantage, but that's another post.

The worst part about these situations is the waiting. It can take 3-5 days for the bank to respond, and usually they respond with a form that is to submit your highest and best offer. 3-5 days later they start negotiating with an offer. What are you supposed to do in the meantime? Look at more homes? Focus on this one? What if the bank gets to you after failing to work out a deal with 3 other buyers in front of you? Maybe you already found another home but the foreclosure is still your favorite?

I've seen a bank contact a Realtor months later to see if they were still interested in the property at the offer price the buyer made. It's a rare occurrence, but it turned out with a very happy buyer.