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Ani Real Estate
Gloria Bolton, Ani Real EstatePhone: (312) 203-7831
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What Homebuyers Should Know About HUD Homes

by Gloria Bolton 06/13/2022


If you're searching for a new home, you may have come across references to Housing and Urban Development (HUD) homes. HUD offers government mortgage insurance programs and loans. But what is a HUD home, exactly?

Here are the basics to help you with your home search:

HUD Homes: The Basics

HUD homes are foreclosed properties reclaimed by the government. When a buyer uses a Federal Housing Administration (FHA) loan to buy a residential property, they risk losing the property entirely if they cannot make their mortgage payments. The government then re-sells the homes at a low price to make up for the money spent paying off the rest of the mortgage.

Every HUD house gets an appraisal to determine the best price, but they are still often below market value. This makes them attractive options for first-time homebuyers, flippers or anybody looking for a good deal.

Incentives to Buy HUD Homes

The HUD agency offers many incentives to homebuyers to encourage the sale of these foreclosed properties. These incentives include grants, vouchers and special buyer programs to assist with mortgage payments, down payments and more. Buyers with careers in public service or who work with nonprofit organizations are also eligible for some of these special incentives.

Buying a HUD Home

It's important to note that the process for buying a HUD home differs from other homes. You won't find listings for these properties in the usual places like MLS or search portal sites. Instead, you can search and browse HUD listings on their website.

HUD homes are different from other properties in that you have to buy them at auction. You need a licensed real estate agent to represent you, to bid on and purchase a property.

Is a HUD property right for you? There are many factors to consider, but knowing the basics will help you make your decision. Consult a real estate professional for advice on the best way to proceed with your home search.

About the Author
Author

Gloria Bolton

Let's make the home of your dreams a reality...

Gloria Bolton is a broker with Ani Real Estate who comes from a successful and diverse academic and professional background, Gloria brings a wealth of business savvy, professionalism, and intelligence to our company and to her clients. Being a fluent Spanish speaker, she is able to work with many different buyers and sellers throughout Chicagoland. Her greatest strength is that she prides herself on her attention to detail and being a dependable, problem-solver - things that are critically needed when working on the behalf of others when selling real estate.

If you are looking for a hard-working, ethical Realtor®, do not hesitate to call, text, or email her today. Your very own ChicaGlo Realtor will be glad to make the home of your dreams a reality!

¡Se Habla español!

Awards & Designations

Property Management Certified