When you're thinking of buying a house, you need to learn how to buy FHA, VA, and HUD foreclosures in order to get the best deal possible. You can buy foreclosures easily these days.
While times are tough for many homeowners, this doesn't have to mean you must put off house buying any longer.
With FHA (Federal Housing Administration), VA (Veterans Administration), and HUD (Housing and Urban Development) foreclosures, you can purchase homes which have gone into FHA foreclosure, often resulting in very low prices and the best terms for those without a lot to spend.
An HUD home is a home that is a one to four unit residential property which was financed by the FHA. When the property goes into FHA foreclosure on that FHA-insured mortgage, the property then becomes owned by the HUD. When this happens, then the house is put up for sale in order to recover the loss on the foreclosure claim.
The FHA foreclosure house can then be purchased by anyone who has the cash to pay for it or who can qualify for a loan. Those who are going to live in the home with their family get first priority over other prospective buyers. If you are looking to buy an FHA HUD foreclosure home, you will want to find an HUD real estate broker as they are licensed and qualified to handle this sort of transaction. However, most brokers for real estate are HUD-approved to handle the bidding process and help you learn how to buy foreclosures.
On the HUD web site, you can find listings of the current HUD foreclosure properties in your area, helping you to see what's available and what you might want to purchase. These FHA listings are simple to browse and convenient for those who do not have the time to call the HUD to find out more about FHA foreclosure properties for sale.
Bloomberg News gives you information
on what to do when you are buying a foreclosed home
Something to keep in mind is that all of these HUD, VA, and FHA foreclosures are going to be sold as is, without a warranty. Buyers are encouraged to have a house inspection completed before they purchase the home. While the homes are generally in good repair, there are some homes which may not have been taken care of by their owners before the foreclosure took place.
Some homes will qualify for FHA-insured mortgages, so check with your broker to see what might work best for you for FHA foreclosed homes. Or you can secure your mortgage through any other qualified lender.