Home Buying in Charlotte>Question Details

amerjan, Real Estate Pro in Charlotte, NC

Any ideas/tips on how to bid for HUD homes as investment properties?

Asked by amerjan, Charlotte, NC Sun Jan 20, 2013

I have run into a number of HUD homes I would like to bid on, but all the ones I've seen seem to exclude investors (owner occupied only).

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6
Be sure that you get pre-approved as well.

As you already know, qualifying for Investment loans varies from Lender to Lender depending upon the individual borrower, their current portfolion and the property they are interested in purchasing.
0 votes Thank Flag Link Mon Jan 21, 2013
Good evening, Amerjan
The easy way to get HUD homes for investors is to work with a HUD registered broker (our firm is) and bid on proprieties in INVESTOR status. There are 228 such homes currently available in NC http://goo.gl/XKDjc . Three of these are in Mecklenburg: http://goo.gl/Zsmdp . two in Union Co http://goo.gl/usZS5 ten are in Gaston http://goo.gl/jeN2X and four are in Cabarrus. http://goo.gl/avQS1 . There are also six in York Co., SC http://goo.gl/CquNM and three in Lancaster Co, SC http://goo.gl/Boebx If any appeal to you, please contact through profile. If you appreciate an answer, please give thumbs up. For the most helpful answer, please say thanks with a best answer click.
0 votes Thank Flag Link Sun Jan 20, 2013
Good morning, Amerjan!

I have personally noticed very few HUD's that ever make it to the Investor open bid period myself. In fact, I am seeing that alot of these homes seem to be staying in the Owner Occupant bid period longer than usual, could just be me. I do not believe it is 15 days before it turns over to Investors, that is Fannie Mae.

There are several Mega Funds that are investing in Charlotte right now. Everything that I have put an Offer on has had Multiple Offers. Be prepared for this to happen and be prepared for the home to sell above list. If I were you, I would get connected with an Agent that is focusing on this part of the market and is experienced. This way, they can send you homes that suit your criteria. I think there are several other foreclosures hitting the market and short sales. Again, just be prepared to have competition. Also, you need to move fast. Things are getting Multiple Offers on day 1. Everyone has cash so it is all about the numbers.

Best of luck,
Debbie
0 votes Thank Flag Link Sun Jan 20, 2013
Hi,
I am a Real Estate Broker with Giving Tree Realty and also the HUD Closing Coordinator for our firm. HUD determines what properties are offered for owner occupant, investor and lottery. Depending on the property, owner occupant is offered for the first 15 or 30 days and if no offers are accepted then it goes to investor and all bidders.

Feel free to email or call me with any questions.

Donna Wattinne, Broker
Giving Tree Realty
704-305-0941
0 votes Thank Flag Link Sun Jan 20, 2013
when a hud property first comes on the market, only owner occupants, non profit organizations, and govmt agencies can bid on them for up to 2 weeks. then the bidding is opened up to investors. you will need a realestate broker that is authorized to bid to submit your bids. i am an authorized broker and will be happy to help you, call me at 704-534-9166 john baynes
0 votes Thank Flag Link Sun Jan 20, 2013
That's right. HUD gives owner occupants the first shot. Usually investors can bid after 14 or 15 days. I would look for HUD homes that have been on the market longer than that Owner Occupant First Look period. You can also look for the homes that require the most work. Owner Occupants shy away from those homes... as they are buying them "as is".
The investor market is very competitive. Most homes get multiple offers in just a few days so be diligent in you looking and have an agent ready to place an offer for you as soon as you see one you like. Place a strong bid... and pay cash if you can. It seems like most investors getting the homes are paying cash. Good luck.
0 votes Thank Flag Link Sun Jan 20, 2013
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