Thinking of buying a HUD home? There are certainly amazing deals you can take advantage of if you purchase a HUD home. A HUD home is a 1-to-4 unit residential property acquired by HUD as a result of a foreclosure action on an FHA-insured mortgage. HUD becomes the property owner and offers it for sale to recover the loss on the foreclosure claim. In many cases, they may require some work or repairs. In some cases, thy may be habitable in their as-is condition. The condition of the home can certainly impact the TYPE of financing you use to purchase the home. You should consider hiring a Realtor with experience selling HUD homes. Our team is prepared to guide you through every step. Below are a few simple steps to consider when buying a HUD home.
How To Buy A HUD Home
- You must use a HUD registered real estate broker.
- You must be pre-approved for a mortgage.
- Owner-occupied bidders receive the first priority.
- HUD offers three types of properties: FHA insurable homes, FHA insurable homes with a repair escrow and homes that are not insurable with an FHA loan.
- You do not have to finance a HUD home with an FHA loan.
- HUD homes are sold "as-is."
- Before making a bid, you must provide your HUD registered real estate broker with the appropriate earnest money in the form of a cashier’s check or money order.
- Your earnest money check should be made payable to the escrow account of your HUD registered real estate broker.
- Call Q!!!