Has anyone bought a HUD property in the owner occupant stage? I was just told there is a local investor who buys HUD REO’s while they are in the owner occupant stage and she indicates on the bid that she will be a owner occupant. She has been turned in many times, but HUD never does anything to her. If that is the case I can buy a ton of great deals in the Northern Kentucky/Greater Cincinnati area by saying I am a owner occupant.
Just because another investor is successful in their deceit why would you want to copy that?
Keep in mind, that HUD is a federal entity with federal funding programs. The investigating authority for fraud against the federal government is the FBI. She’s gonna be hating life if they ever choose to enforce.
That said, do you want to be an honest investor or be one that is dishonest because there is one (at least a RUMOR of one) that is dishonest and hasn’t been caught?
I try to take the high road, but that’s just me. Remember, you reputation is everything in this business.
Keith