What is a HUD Home?
— A HUD Home is a property with an FHA insured mortgage that has gone into default. The lender acquires the property, submits FHA insurance claim, and then conveys ownership to the U.S. Department of Housing and Urban Development (HUD). HUD will then sell the home through their Asset Manager (AM). A HUD Home can be a single family residence (SFR), townhouse, condominium, mobile home, or multiple family attached home up to 4 units.
Benefits of purchasing a HUD Home:
— HUD will pay up to 3% of buyers closing costs (must be negotiated in the contract)
— Price of home is based on the FHA as-is appraisal (excellent values)
— FHA appraisal is already completed so FHA buyers will not need to pay for a new appraisal, saving an average of $400 (appraisal is good for up to 4 months)
— If condo or townhome, project approval is not needed, meaning that there is no percentage that has to be owned by owner occupants (only on HUD Homes)
— IE finance types have option of doing an FHA standard loan with escrow repair (repairs are done AFTER close of escrow)
— Owner occupant priority bidding period which means that buyers will not be competing with investors for the first 30 days on all IN and IE finance types
— Good Neighbor Next Door (GNND) program available in certain areas for eligible buyers
— All homes listed on www.hudhomestore.com
— Quick response to bids
— FHA 203k loan option
— Did you know?…if FHA financing used, termite inspection is paid by HUD
— Bid Transparency (Sealed bids)
What is the Good Neighbor Next Door Program?
— enforcement officers, pre-Kindergarten through 12th grade teachers and firefighters/emergency medical technicians can contribute to community revitalization while becoming homeowners through HUD’s Good Neighbor Next Door Sales Program. HUD offers a substantial incentive in the form of a discount of 50% from the list price of the home. In return you must commit to live in the property for 36 months as your sole residence.
Why choose John Brophy / Keller Williams to find you a HUD Home?
— John has experience as a Listing Broker for HUD. What that means for you is that he understands the HUD market and guidelines. He and his team are trained in all aspects of HUD Homes. He can educate and guide you in the purchasing of a HUD Home and place a bid on a HUD Home for you when you decide to buy.
Contact John Brophy today to learn more or to be sent a weekly HUD photo list of all the HUD Homes in the Phoenix area that become available. You can always view available HUD Homes at www.hudhomestore.com .
Selling Agent Resources:
HUD Home Store Registration
How to register as a Principle Broker with a NAID ( Short Video)
How to register as a Selling Agent or Associate Broker ( Short Video)
Step-by-Step Guide on How to Correctly Complete a HUD Sales Contract Package
Selling Agent Important BLB Resources Documents:
Owner Occupant Contract Package
Investor Contract Package
Owner Occupant Certification
Blank LBP Disclosure Addendum
Appraisal Report Request
Closing Date Extension Request
Request to Change Financing Type
Termite Report Request
Contact John Brophy today to learn more or to be sent a weekly HUD photo list of all the HUD Homes that become available. You can always view available HUD Homes at www.hudhomestore.com .
Reference: John Brophy Realtor/About Buying HUD Homes