can you make money with?

Buying HUD homes can generate a lot of income. In my area, they are generally in various areas, good and bad, and they are in all price ranges. These generally are the better or best deals when they hit the market. And they usually are under contract very quickly. Always take into consideration the conditions that these homes are sold under, as-is - where-is, ect.

When investing in any home you must take into consideration the area that the home is in. You must calculate the fair market value, and figure from there your MAXIMUM OFFER. Investing in any property, NEVER exceed your maximum offer. This is a very powerful negotiating technique.

Good luck in investing in real estate, really you have found a very good type of property that could generate big profits.

welcome to DG fam. Thing you got to realize is someone is always willing to live some place even if you youself ain't willing to live there or in a certain a n'hood. Also look at if gentrification is approaching the surrounding area. If it is those areas can quickly turn around in value with the buying frenzy of everybody trying to get into the area. Market those homes to investors that don't mind where the location of the property is or they're into doing gut redo vs a polish and go (meaning they're out of there as quickly as possible). HTH.

HUD homes can be very profitable if they are purchased right. The government only drops prices at selected intervals. HUD will normally take about 87% of the offered price. Also, if you are a cop or teacher that has been employed for two years or more you can get a special discount of 50% off the current list price. You must make your offers online and you must make your offers through a registered agent with HUD. HUD also does an evaluation of the properties for you so that you know the amount of repairs you should be expecting. How nice is that?

There are tons of great hud deals around there. You can make lots of $ on them. They are not all in bad areas, sometimes they can be in low income areas but that does not mean they are crime areas all the time. You can get them at a discount.

Jeremy

Many people ask where to find HUD homes or even where to get more information. You can check out HUD.gov and find lots of useful information. If you are on the sight and you are looking at the left hand side of the page you can find a section that says "Homes for Sale". Under this you will find a link for homesales.gov. This is essentially the governments listing site for all their foreclosure properties. This is also where you can find the inspection information.

I am starting on my first house. On acceptance of bids I understand that Hud will take 87% of the asking price. Is that number irrespective of commissions? I am using a HUD listed agent and have found some addional problems with the house. It was not winterized properly and plumbing issues have cropped up. I have an accepted offer, but need to go back because of these addional issues. Can I use 87% of asking as my smallest number or go back with estimates?

Keep in mind when working with the Government they do not make sense. Regardless of what your accepted offer is they (HUD) will only accept about 87% of the asking price that is posted for the property. This would mean that because the property needs repairs if you were to reoffer you could go as low as 87% of the last reported asking price. If you want a lower price than this you would need to wait for the government to lower their asking price. That is about the only option we have. Why they do not just accept offers that make sense, I don't know??

I am very new to this but very excited. I have looked at some HUD homes online but they say you have to live in this home and they also say no investers is there a way around this?

Unless the house is on a great location then maybe you make a move. I am a wholesaler so I have to get at least 25% of the fair market value and with HUD is almost impossible. Stick to REO's and motivated sellers.

If in the case you decide to continue working with HUD you will find that HUD lists the properties first as owner occupancy only (you have to live in the house) then second to everyone. Each area will differ on the time it takes for HUD to allow everyone to offer but I have seen in my area as well as others I have invested that the HUD creates new listings generally on Fridays then owner occupied bidders have until nine days later to make the bid. Bidding ends the evening of Sunday the ninth day. Monday morning, if there have been no bids for the week previous HUD will open bids for everyone.

Keep in mind, as well, HUD may not show this on their site until long after bidding / purchasing has been satisfied.