Questions on a HUD HOME

I have a few questions on buying a hud home----

I am looking to buy my first house (to live in) I found a HUD home that lists for 107,500.

When you bid does the bid have to start at 107,500 or can you bid below that?

Do you have to get a Agent to bid for you?

What if you win the bid when do you have to pay, right a way or do they give you 30 days?


You may bid any amount, including under the list price. But, HUD will award based on their highest net after closing costs, agents fee, etc.

Yes, you must have a HUD approved RE agent.

Your agent must verify and certify that you have an acceptable financial commitment equal to your bid amount or some reasonable lesser amount. They want you to be able to close quickly.

I would plan on not attempting to close in less than 45 days…trust me, you’ll need every minute of it. Make sure you have your financing in order, including having your underwriting conditions met, prior to bidding. This will lessen you exposure.

Bids may be for any amount, but I wouldn’t suggest underbidding too much. Remember, it’s the net amount to HUD that is important.

You must use a HUD approved real estate agent to submit bids.

If you are the acknowledged high bidder on a HUD home, you have a maximum of 48 hours (weekends and holidays excluded) to deliver your complete and correct contract package to the appropriate Regional Office that services your state. All sales must close within 45 days from the date that HUD signs, ratifying the Contract.