Right now is the best time to buy a home, with regards to the amount of interest charged on home loans. These are the results of a foreclosure action on an FHA insured mortgage. HUD guidelines allow owner-occupied buyers to bid on uninsured properties for five days before investors. If you are in the market to buy your first or next home, a HUD home could potentially save you tens of thousands of dollars on the purchase price.
When you are ready to purchase your HUD foreclosed home and have your financing in place, make sure you know when your bid is due. These foreclosures are owned by banks, which have taken possession of the property due to the previous homeowner’s inability to keep up with their mortgage.
HUD stands for the United States Department of Housing and Urban Development It is the federal agency tasked with national policy and programs that address the housing needs of America, as well as enforcing fair housing laws. These foreclosures are put under contract with property management companies to sell the foreclosures for them.
In general this rate will be 3%.Â The selling agent can always accept less for a HUD home commission (sales fee) payment. Traditional foreclosures occur when a homeowner defaults on their home loan. You need to search for a real estate agent that is experienced in HUD homes for sale.
You can view HUD home listings on the HUD web site ( ), and arrange to view the property by contacting any locally authorized HUD realtor. However, if you don’t make any offers, you will lose 100% of the bids, so go ahead and throw in your hat for the right properties.