A public sale of land or goods, where the highest bidder wins
If you hit a financial crisis and default on a mortgage, a lender will be forced to foreclose on your home and put it up for sale at a public auction. The rules for a public auction vary from state to state, but normally a lender must advertise the auction both in a county newspaper and in a public place several weeks before the sale. Anyone can make a bid at a public auction and it's common for home buyers to snag a great deal.