HUD Homes Are One of the Best Deals Available! Here’s Why:
Pairing the low-rates of an FHA loan with a HUD home one of the best home-buying deals you can get! HUD homes are houses that were once financed with a government-backed loan. However, the owner was not able to make payments, and the home went into foreclosure. The home is now owned by the U.S. Department of Housing and Urban Development and is called a HUD home.
The government will often sell these below market value, but the perks don’t stop there!
Check out these other benefits to buying a HUD home with an FHA loan:
- Assistance with down-payment, up to 3% of your contribution!
- Assistance with closing costs, up to 5% of the purchase price!
- May close faster since HUD homes are already appraised by FHA approved appraiser
- Preference as a primary residence buyer over real estate investors looking to just “flip” the home
Hud homes aren’t usually listed on traditional real estate websites, and bidding gets competitive fast. We encourage working with a realtor familiar with HUD home buying. Please contact us for trusted recommendations.
HUD home availability changes quickly, and the bidding competition even faster. So in addition to having a knowledgeable realtor guiding you, you’ll want to be ready with your FHA loan approval letter.
The process is simple, and you can start right now, using our digital loan application!
Not using an FHA loan? You can still buy a HUD home!
Although HUD homes are government-owned, you aren’t limited to government financing from FHA or VA loans. You can also purchase a HUD home with a Conventional loan. Also, there’s no special qualification process to buy a HUD home. However, you will be required to own the property for a year before listing it for sale again.
Interested in buying a HUD home? We don’t blame you! The savings you gain from purchasing a home from the government are many. And when you combine it with the advantages of government-backed loans like a VA or FHA, your savings snowballs.
No matter which loan you choose, remember to be ready to move quickly with your approval letter. Start the application today, and you could have your home in time to enjoy summertime grilling in your new home!