An increasingly popular way to buy Miami Beach real estate at dramatically discounted prices is at foreclosure auctions, well known for being a lucrative albeit highly competitive method of snapping up properties. While you may be aware of the common risks involved in foreclosure auctions—online ones particularly—there is one major pratfall that novices are ignoring. Since this can result in the loss of potentially thousands of dollars, you should be aware of it.

One of the first things you should strongly consider when purchasing something like Miami Beach condos is obtaining a title search. A title search will determine whether the property you're bidding on has any second mortgages or junior liens that you may become responsible for if you're the successful winning bidder. A title search costs about $100 and can keep those aforementioned thousands of dollars in your pocket as well as save you a world of legal headaches.

Always remember that it's ultimately your responsibility whether Miami Beach homes or any property have any legalities attached to them. If you fail to do your homework properly, you could risk losing lots of money. Consider foreclosure training sessions before dipping your toes into online foreclosure auctions; you'll likely be glad you did in the long run.