How To Buy A HUD Home

Have you heard a lot about HUD homes, but aren’t sure if you should buy one or what the process entails?  HUD stands for The Department Of Housing And Urban Development. The FHA (Federal Housing Administration) is a part of HUD. The FHA is where federal mortgage insurance comes from. If a home is foreclosed on and insured by the FHA, the lender has a right to file a claim for the balance due on the mortgage. The FHA will pay this claim, and then transfer the ownership of the property to the HUD who will sell the home.

Will A HUD Home Provide A Price Break? 

The answer to this question is not necessarily. A HUD home is appraised just like any other home for sale. The price is based on the fair market value of the home. The prices may be adjusted according to any repairs that need to be made to the home. It’s a good idea to have your realtor look into comparable prices for HUD homes, as these properties aren’t guaranteed to be a deal.

Know that HUD homes are sold as-is. There isn’t much negotiating like that of a typical home purchase. As the new owner, you’ll be responsible for all of the repairs. It’s a good idea to invest in a home inspection before you buy a HUD home for this reason. You’ll have a better understanding of what you’re getting into with this type of home purchase. 

How Do You Begin The Search For A HUD Home?

Housing and Urban Development homes are listed by state on the department’s website. This is a good place to start your search. The site also lists brokers who are approved by the HUD. You can then contact local brokers to show you the HUD properties that you’re interested in.

The Process Of Making An Offer

Buying a HUD property can be very different than buying any other type of home in that the offer process is a bit different. These properties are sold through bids. You must hire a licensed real estate agent to assist you in this process, you can’t just put a bid in on your own. You’ll need to be sure that your offer is placed during the designated offer period. Either the highest bid is accepted or the bid that came in first in order will be taken. Generally, the HUD wants to take the offer that will get them the most profit.

Careful With Financing

The HUD does not finance homes. You’ll need to apply for a mortgage just as you would in buying any other home. Before you can even make an offer on a home you must have approved financing. If for some reason you get through the process of having your offer accepted on the home and the financing falls through, there’s a chance that you could lose your earnest money deposit.     

     

How to Become a Smart Homebuyer

Buying a home should be a quick, simple process. However, the homebuying cycle sometimes proves to be a hassle, particularly for those who are shopping for a house for the first time.

Lucky for you, there are many quick, easy ways to become a smart homebuyer – here are three tips to ensure you can make informed decisions throughout the homebuying journey.

1. Check Out a Broad Array of Houses

Purchasing a home can be a fun, exciting journey, especially if you explore a wide range of residences.

Remember, the more residences you check out, the more likely it becomes that you’ll find one that matches or exceeds your expectations.

When you review houses, be sure to analyze each property’s interior and exterior closely. That way, you can identify any problem areas and determine whether these issues are potential deal-breakers.

Also, don’t hesitate to check out the same house multiple times. It never hurts to take a second look at a house. And if you find that you enjoy a home after a second walk-through, you may be ready to submit an offer on this residence.

2. Set a Homebuying Budget

Before you make an offer on a house, it is important to consider exactly what you can afford. By doing so, you can avoid the temptation to overspend in the hopes of acquiring your dream house.

Many homebuyers get pre-approved for a mortgage – something that may prove to be exceedingly valuable.

With pre-approval for a mortgage, a homebuyer will know exactly how much money he or she can spend on a home. This will enable a homebuyer to enter the housing market with a budget in hand and map out his or her home search accordingly.

Furthermore, consider your monthly expenses prior to submitting a home offer. Electricity and assorted utility expenses can add up quickly, so you’ll want to account for these costs. And if you want cable and internet services at your new home, you’ll want to evaluate these potential expenses as well.

3. Consult with a Real Estate Agent

A real estate agent is a housing market professional, and as such, will help you simplify the process of going from homebuyer to homeowner.

Typically, a real estate agent will meet with you to understand your homebuying needs. He or she then will help you develop a homebuying strategy, one that ensures you can purchase your ideal house at a budget-friendly price.

With a real estate agent at your side, you should have no trouble acquiring a wonderful residence. This housing market professional will set up home showings, keep you up to date about new property listings and negotiate with home sellers on your behalf. As a result, a real estate agent will guarantee you can get the best results possible throughout the home selling journey.

Don’t leave anything to chance as you kick off your home search. Instead, use the aforementioned tips, and you can become a smart home shopper in no time at all.

Open house on 10/14/2018 at 3 Old Lantern Cir Paxton, MA 01612


Date: 10/14/2018 Time: 12:00 PM to 2:00 PM  
For Directions: feel free to contact me.  
For more information: click here for the full details  

NEW PRICE! “CANDLEWOOD ESTATES”…Stately, Custom Built Brick Colonial on 1.33 Acres! (Double Lot)..Quality throughout this Custom home is evident upon entering the Double Doors!.. HARDWOOD FLOORING THROUGHOUT!..The Gourmet, Island Kitchen has Stainless Steel Appliances (Bosch Double Ovens) and a separate Dining Area with a Slider to the oversized 12′ x 60′ Deck, overlooking the Private Backyard..The Formal Living Room has a Fireplace, recessed lighting, and is open to The Formal Dining Room with a Slider to the Deck…The Fireplaced Family Room has a Beamed Ceiling, and sliders to the Deck…The First Floor also boasts an Office with Built-Ins, 2 Half Baths, Closets, Laundry and a Mud Room..The Master Suite has a Full Bath, 2 Separate Vanities, Multiple Closets and recessed lighting…There are Four additional Bedrooms and 3 Full Tiled Baths on the Second Level…One Bath has a Jetted Tub and Steam Shower!…Roughed-In Central Vac System..2 Car Attached Garage..TITLE V in hand!

Video Tour – Single-Family Home – Worcester, MA 01606 Real Estate – For Sale

Absolutely beautiful!!… Three Bedroom Townhome with a 2 Car Garage!…NO CONDO FEES!!…Dramatic 2 Story Foyer with Custom, Wide Hardwood Stairs leading to the Living Room with a Corner Fireplace (Gas Log), and a Slider to the Private Deck and backyard… The Kitchen has Granite Counters, Stainless Steel Appliances and a Breakfast Bar with seating for Four… It’s open to the formal Dining Area…The Second Level landing has a Palladian window bringing in tons of Sun Light…The Master Suite has a Walk-In Closet, and an adjacent Full Bath with a Granite countertop and a Linen closet… The 2 additional Bedrooms have closets and a linen closet in the hallway…The Lower Level has a Family Room with wall to Wall Carpeting, storage, and a Half Bath ready to be finished… Off Street Parking for 2 Cars…Economical Gas Heat and CENTRAL AIR-CONDITIONING!!.. Minutes to Highway Access, Stores, etc.

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