Hud Home
I am interested in bidding on a house thru hud. it is currently for owner occupent now. The house is listed at 61k fmv of houses in the nieghborhood is 75k to 95. The house has little water damage broken windows drywall damage etc. I estimate repairs and rehab at 14k. Thats me doing all the labor. I believe the current owner bought for 70k lived in 6 years and thrashed and left. If it makes it to invester bid what would be a reasonable offer? I would plan to pay cash not that it matters to hud.
You should look on the Hud site for recent sales in your area...to see what kind of a percentage of the list price houses are going for.
Of course, the best advise is to figure out where you need to be to make money...and bid accordingly.
Around here, Hud will accept, on average, 87% of the list price. However, that is not to say that someone might outbid you. So, your best bet is to always bid what makes sense to you...if you get it - great. If you do not - move on to the next one.
Thanks for the help. I was going to bid however they accepted a bid the first day of invester bidding. For the full price. Is that common? If I was the owner I would want to see multiple offers maybe make more money?
NewKidInTown3 and jimandlacy are spot-on with their responses. And as jimandlacy points out, the risk is really on the Realtor submitting your offer.
I’ve had an out-of-state agent do it for me without having the deposit in hand. But it’s also an agent whom I’ve bought property through, and knows my whole investment strategy and situation.
Please note I am not complaining about the agent. The agent is doing what they are being told to do. I am saying that the rules themselves are unreasonable and discussing WHY HUD has rules that do not make sense (to me at leas.
The agent, of course, has to protect themselves from any appearance of impropriety and I can totally relate to that.
JS.
smithj2,
what has been your experience with the % athe HUD accepts, when I was doing it in Georgia the % for acceptance of an offer was about 72%. This still left a decent margin for profit.
thanks in advance.
Quote:
On 2007-01-26 14:39, donanddenise wrote:
HUD is a pain, just like most things government.
Yep
There is a difference between motivational speakers and instructors. I find that most of the "real estate" investment courses are geared towards getting people motivated. I do not need motivation, I need education. And if you are getting real education, it will have to be a course on a specific topic. What can you possibly learn on real estate "investing" in a day, weekend or even week? You need a course on short sells, wholesaling, rehabbing, tax liens, tax deferred investing, hard money lending, or other specfic courses.
To answer your question about the Roth IRA. As long as the money goes from the Roth to the investment and back to the roth it is tax free. The money can never go to you during the transaction.
Quote:
On 2007-01-24 11:09, bgrossnickle wrote:
There is a difference between motivational speakers and instructors. I find that most of the "real estate" investment courses are geared towards getting people motivated. I do not need motivation, I need education. And if you are getting real education, it will have to be a course on a specific topic. What can you possibly learn on real estate "investing" in a day, weekend or even week? You need a course on short sells, wholesaling, rehabbing, tax liens, tax deferred investing, hard money lending, or other specfic courses.
Well said!
Thanks for the information. Liked the link. Despite the massive discounting to get you to sign up for the Real Estate Academy, I decided to use the ~$500 to acquire real information. The cost got reduced from ~$1000/person to ~$250/person when you attended with a significant other. They included a lot of glossy books and a few other items as on-line mentors and use of web site.[ Edited by jrfrederick on Date 01/29/2007 ]
The Rich Dad books and info are great sources for infomation, but it requires you to put work and effort into it as well.
Just with anything in life, whatever you put into it, is what you will get out of it.
Check out Ebay for some prices on Rich Dad products!
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