hud homes

In this section, you will learn about the process of buying HUD homes...from finding the right home to closing on the HUD property.

HUD homes are homes acquired by the U.S. Department of Housing and Urban Development.  The properties range from single family residences to condos and are often in a state of disrepair or require a little elbow grease to spruce up the home.  

In general, HUD homes attract a wide range of potential home buyers.  Investors flock to HUD homes in order to find a property that can be fixed up and resold at a higher price.  Teachers and police offers have the opportunity to purchase HUD homes at 50% off of the sales price.  Other home buyers are drawn to HUD homes because they are looking for a home that is below market value and realize that they can buy a larger home than they would normally qualify to purchase.

However, it is vital that you remember one thing while you explore the HUD home buying process—HUD requires that all bidders must be pre-approved to purchase the home.  In other words, if you are looking to finance the property, you must make application and have a conditional loan commitment from a qualified lender.