I am interested in making an offer on a HUD house. I bought a few several years ago. At that time, they would not accept an offer less than about 80% net to HUD. When I look now, I see some houses that appear to have sold closer to 60% net to HUD. Does anybody know what the magic number is now? Also, I have heard they will counter offer now which they would not do in the past Is this right?
We have had a couple counteroffers on HUD houses. So it is true, was rather surprised the first time it happened about six month ago.
I am hoping to have a excell analysis done all the HUD sales in our mls, covering about 10 counties by the end of next week.
We recently picked one up, listed at 65,000, 58 dom offered 50,000 they countered at 62,000 I waited a couple days to respond. Told my agent in the morning to counter at 55,000. Two hours later he calls me back and they had accepted our 50,000 offer.
At about 60 days I am seeing significant discounts.
This week I picked one up, 24 dom, 50k list, offered 35k, no response for three days, I offered 40k they accepted right away.
In our market there are a number of factors that appear to drive the discount percentage. Most of the factors appear to be related to aging of the listing and the number of price reductions they have done.
The longer the listing has been active, the larger the discount is what I have seen.
Thanks for the replies. I have watched a few houses go through a couple of price reductions and then get sold cheap so it makes sense that the discount gets bigger with days on the market.
There you go Mel.
Make offers, buy houses and make money