Info on bidding on a hud house ?

Question

what is the process and how long does it take to bid and close on a hud house also since there are usually repairs will i be able to get an fha loan

Answer 1

.   I bought 2 HUD homes.  Fill out the bid.  Hand it to a realty agent.  Sit back and wait for the bid date which is in the listing.  If you win the bid you see it online.  If not, go back out shopping.  You close when your loan is ready.

It is always best to pay cash for repo houses.  The banks will make your life miserable with their repair requirements.

Answer 2

HUD houses are listed for an initial bidding period.  During that time, anybody can bid but preference is given to owner occupants (over investors).  Assuming you win the bid (you do need a HUD registered Realtor to submit a bid for you), you willhave 45 days to close on the house from the date HUD signs the contract.  (30 days on cash deals, 60 days for 203k loans)  

HUD lists it's properties on three levels depending upon condition.

IN - Will go on an FHA loan with no repairs needed.

IE - Will go FHA with some repairs needed.  Buyer must borrow the money for the repairs in the loan and fix the house within 90 days of closing.

UI - Won't go FHA due to to much work needed.  Might still be able to go on a FHA 203k (fixer-upper) loan.

203k loans are for houses that need more than $5,000 worth of repairs.

203b with repair escrow are for less than $5,000 worth of repairs. This is the loan for the IE listed houses.

Right now (at least in Texas), HUD is offering a $100 down payment on all thier houses sold for full price, using an FHA loan.