HUD (Housing and Urban Development) owned Homes are single to fourplex unit properties that have been insured by an FHA Home Loan and have been foreclosed. Once the property is in foreclosure, the FHA will repay the lender the amount owed on the property and then moves to resell the property quickly to try and regain some of that cost. After the foreclosure, and before a sale, the home is under the ownership of HUD.
A list of all HUD owned homes is posted online and can be accessed by individuals and real estate brokers who are registered to do so. The sale is done through an electronic bid format and so the properties can move rather quickly.
Before you consider speaking with a real estate broker to purchase one of these low priced HUD owned homes, you should be pre-approved for an FHA home loan. We also recommend that you have your FHA home loan letter of commitment before you submit your bid through your real estate broker. This will allow for this bid and an purchase process much smoother.
If you would like more information on HUD owned homes for sale, Contact Us or fill out our no obligation quote to get the best price on these homes.