HUD REPOS and HUD Owned Properties

FHA provides financing for properties that are currently owned by HUD.  Many times these properties need some repairs to get them back into living condition.  FHA will provide a loan and allow for the costs of the needed repairs  to be financed into the loan.  Most times these repairs are less than $5000.  On HUD owned properties, the appraisal has already been done and a list of needed repairs has been completed.  As long as these repairs are less than $5,000, the FHA loan will allow for these repairs to be financed in the loan and the repair can be completed after closing.  This way buyers do not need to come up with additional cost at closing to move into these homes.  HUD owned homes are a great value, but they don’t last on the market long.

For repairs that are over $5000 FHA provides a renovation loan.  The FHA 203′s renovation loan allows for needed repairs to be financed into the loan.  The FHA renovation loan is for repairs and additions that will be supported by a final appraisal.  Work must be done by a licensed contractor.

Here is a link to find HUD REPOS for sale.

Good Neighbor Next Door

In an effort to revitalize some neighborhoods,  HUD will sell eligible homes at 50% off the sales price as specified by HUD.  Buyers must agree to live in the property for a minimum of 3 years, the property must be the buyers primary residence. No manufactured homes. 

Borrowers are only required to put a down payment of $100 and all closing costs can be financed into the loan. 

  The following borrowers are eligible for the Good Neighbor Next Door Sales Program:

• Law enforcement officers
• Firefighters
• Emergency Medical technicians (EMTs)
• Private and public school teachers

Use this link to find out where these properties are.

 All loans must comply with FHA guidelines and are available on most FHA loans.