What to Expect when Buying a HUD Home

 

 

 

 

 

Purchasing a HUD home can be a great deal; however, before taking that leap it’s important to educate yourself about the process and do your due diligence. Here’s we’ve put together a general outline of what to expect during the HUD home buying process.

  • Find the right agent
    Only real estate agents who are registered with HUD may represent home buyers and investors in the purchase of HUD homes online – it’s best to find yourself a pro who’s experienced with these types of sales to help you through the process.
  • Inspect the property before making an offer
    HUD homes can often be fixer uppers, so it’s crucial to have an inspection. Take a lot of notes and photos of the property so you can be mindful of any improvements that need to be made when putting together your offer.
  • Make an offer
    The part of the process is different than traditional sales. HUD home offers can be canceled with no earnest money forfeiture, and once an offer is submitted, it can be canceled before the HUD agent opens the bid electronically, or after by sending an email to the company managing the home. Until the contract is signed, the earnest money is not in jeopardy, so there are a few days after the bid is accepted to cancel.
  • Be ready to close
    HUD home closing times are decreasing – sometimes you can close in as little as 30 days. It’s a good idea to have your loan documentation together ahead of time, including your W-2s, your paycheck stubs, your tax returns etc.

If you’re ready to start checking out HUD homes (or other distressed properties) in the Denver area, contact Metrowest. We specialize in these types of transactions and would love to help you start the process!

Ken Blevins

About Ken Blevins

Ken Blevins, CEO of Metrowest Real Estate Services, is a veteran in mortgage and default servicing with more than 24 years of experience in collections, foreclosure/bankruptcy, loss mitigation and real estate disposition (REO). Blevins was an original co-founder of Metrowest in 2003, a Real Estate Brokerage and Services Company focused on the resale, recovery and liquidation of distressed real estate in Denver, Colorado and surrounding metros. Blevins assumed the role of CEO in January 2014 and provides strategic direction and has management accountability for the day-to-day operations. Under his direction, Blevins drives all default management operations to maximize asset value recovery and reduce loss severity through a strategy focused on customer service and state of the art technology. Blevins has 18 years of direct operational experience in all facets of REO Asset Management having managed large national REO Disposition contracts for Fannie Mae, Freddie Mac, Wells Fargo, JP Morgan Chase, CitiFinancial, GMAC Mortgage and other various financial institutions. Blevins specialties include REO asset management, real estate investment, bulk REO acquisitions and distressed asset recovery and liquidation, and he has directed the resolution and liquidation of over ten billion in institutionally-owned residential real estate.

Get More Real Estate Market Info... Subscribe Below!

Learn more about us and find other resources on buying investment properties with us. Like us, follow us, connect!

No comments yet.

Leave a Reply