Cityside has combined with Hudson & Marshall to offer several HUD homes in an H&M Online auction April 28 – 30 2014. If a HUD home is still available after potential owner-occupants have had their opportunity to buy, the property becomes available to all buyers, including investors. A nationwide database listing available homes can be found here and on a litany of Homes for Sale sites.
While HUD doesn’t lend directly to the buyer specifically for the purpose of buying a HUD home, there are several options for specific cases in which buyers can qualify for FHA home loans, which many buyers find more convenient than dealing with a private bank or lender.
During the initial offering, HUD homes are available only to those who wish to buy them as their primary residence. HUD might offer special incentives such as an allowance to upgrade the property, a moving expense allowance, or a bonus for closing the sale early.
The best investment you can make is to order a home inspection before you buy a HUD home. HUD does list the homes for a reasonable value, however, some great deals are available depending on the home and the price negotiated between the buyer and the listing HUD agency.
It is very important to remember that HUD homes are always sold in As Is” condition, which means that HUD will absolutely not make any repairs to the property and they do not warrant the condition in any way. A word of caution, you need to make sure that the real estate agent that you use is experienced in buying HUD homes for sale.
