For every impending foreclosure, there's a bargain in waiting.

In Waterloo, for example, a couple of residential properties - 320 Reed St. and 4010 Homer St. - went on the block recently, the deals handled by Tulsa, Okla.-based Williams Auctions, with the bids opening at a mere $1,000.

Bidders beware: Houses typically put on the auction block may be distressed, to say the least. Some may have come with liens outstanding.

But knowing that going in and not being scared off, a potential buyer may find a potentially cheap way into the housing market through an auction.

Across the country, auctions are happening, online and in person.

At stake are housing properties, potentially at a fraction of their market cost.

There are no guarantees, of course, but for would-be buyers, they might be worth a look.

"Some have worked; some haven't," said Bob Reisinger, executive director of the Waterloo-Cedar Falls Board of Realtors.

Buying a house through the auction process offers its own advantages and potential pitfalls.

Bidders have to come armed with cash - or financing in place - and information on the property in hand.

All properties have to go through the normal inspection routines, and, indeed, due diligence often falls on the shoulders of the potential buyer.

Caveat emptor probably applies in this situation more than any other transaction of such magnitude.

"The transaction is not like a traditional purchase of a property," Reisinger noted.

Auctions may be taking on more notice these days, with foreclosures on the upswing nationwide.

But foreclosed properties likely are harder to sell.

And if the starting price is $1,000, they likely need some work.

Local auctioneer Conrad Doan said house auctions aren't too common in the Cedar Valley.

They're more common in states like California, Arizona and Florida, where foreclosures have been rampant.

Auctions may not be the bargain some might think.

"For the most part, they need what we call TLC," Doan said. "Basements are an issue. Mold is an issue. Bad windows is usually an issue. They're neglected homes, for the most part."

Amy Bates, marketing director for Williams Auctions, said her company has auctioned off four properties in the Cedar Valley last year, for an average price of less than $20,000.

"They were all foreclosed, lower-end properties," she said.

Auctions these days often take on a high-tech aura. Some, including the recent auction of 320 Reed St., are televised, and bidders can make offers online over AuctionNetwork.com or via telephone.

The word among investing professionals is that now is a good time to invest in real estate, with the market having fallen precipitously from its 2003 peak.

Whether buying through auction is the ticket into that market is a matter of judgment.

But given the times, it's apt to be a growth area.