t What Is a HUD Home?
A HUD Home is the result of a foreclosure on a FHA Home Loan. When someone with a Federal Housing Administration (FHA) insured mortgage can’t make the payments The lender forecloses on the home. FHA pays the lender what is owed and then the United States Department of Housing and Urban Development (HUD) takes ownership of the home.
HUD $100 Down Payment
Is a great program where you can purchase foreclosed HUD Homes with only $100 down payment! If you have fair to good credit and you do not have the money for the down payment. Down payment can come as a form of a gift, checking or saving account, stocks, bonds, CD’s or 401k plan.
Down payment Assistance can be used on these homes
HUD $100 Down Program
This program is for Owner-Occupants only
Not for Investors.
Buyer has to sign a form at closing stating you are going to live in the property and not use it has an investment such as a rental property
What is Earnest Money
A deposit made to a seller showing the buyer's good faith in a transaction .Often used in real estate transactions, earnest money allows the buyer additional time when seeking financing. Earnest money is typically held by the seller in a trust or escrow account.
When is earnest money needed?
Earnest money is needed at the time the offer is submitted
Earnest money will go toward the price of the home
You still need to have the earnest money of $500 for properties listed for less than $50,000
and $1,000 for properties listed above $50,000
You can ask HUD to pay for closing costs up to 3% of purchase price
Once your offer has been accepted
Buyer has to have the contract, addendums and earnest money payable to HUD turned in within 48 hour of acceptance. Buyer has 15 day to get your home inspection complete
( Home inspection can be in the price range of $150-$450)
HUD and Utilities
HUD will not turn on any utilities
ALL Utilities must be turned on by the buyer
All HUD homes requires a $150.00 deposit to re-weatherized the home
(During winter months deposits are none refundable )
Now working with lenders that can go as low as a 600 credit score
If you are interested in getting qualified. Click on the tab to your left side that states get pre approved or fill out form below.