HUD houses - Posted by Maureen

Posted by jo davenport on July 23, 2003 at 12:43:45:

Do you own property at 136 South Arlington Ave.
Indianapolis,IN. 46219 ?

HUD houses - Posted by Maureen

Posted by Maureen on May 08, 2003 at 11:35:03:

I am just starting out-so sorry if this sounds like a dumb question. Can you underbid on a HUD house. The reason I ask is because I saw a house listed for 106,000 in a decent resale area, but it needs some work most of it cosmetic from what I can see. I would consider maybe under bidding by maybe 20-25k. Is this possible? I would assume it is in foreclosure so if that is the case is that the amout to repay the orginal loan. Or does HUD have an appraiser go out there?

Re: HUD houses - Posted by Renee Allen

Posted by Renee Allen on August 10, 2003 at 15:53:49:

i would like to find out can i get a hud house of my own being a mother that works hard but still can’t afford one

Re: HUD houses - Posted by James Strange

Posted by James Strange on May 10, 2003 at 04:51:53:

This depends upon if it is a new listing. Newer listing will not discount that much. If they have lowered the price and no one is buying then they may take a low offer.

Re: HUD houses - Posted by scott

Posted by scott on May 09, 2003 at 06:55:11:

From what I have seen, you can not under bid that much. For owner occupants, HUD usually takes 89% of the list price and 87% for Investments. Just my 2 cents. Good luck and keep us posted on how the deal turns out.

Re: HUD houses - Posted by John J

Posted by John J on May 08, 2003 at 23:10:28:

HUD will compare your bid against other bids and their minimum, based on your “net to HUD” bid, which is your bid price minus realtor commission. They don’t care what you pay for the place - they are only concerned with how much ends up in their pocket. Therefore, make your bid through an agent who will not charge HUD an arm and a leg in commissions. The agent that I work with includes a 2% commission for HUD homes, because of my volume. So, I might still be the successful bidder even though my gross bid price might be lower than that of someone else who uses a real estate agent who charges a 5%commission. You should be able to find an agent who will charge 3% or less on HUD bids.

Re: HUD houses - Posted by David Krulac

Posted by David Krulac on May 08, 2003 at 11:53:20:

HUD sends an appraiser to the property, they’re supposed to appraise it in its “as is” condition. The balance on the prior mortgage is inconsequential.

The HUD prices tend to be market prices. They favor owner occupants, but NEVER lie about living there, unless you want to live in the FED PEN.

You should bid what YOU think its worth to you. Most of the properties sell at asking price, sometimes more but don’t let that influence you to bid more than the property is worth. This HUD properties are usually not in real good condition. So bid no more than you think its worth.

David Krulac
Central Pennsylvania