livingnamaste, Home Buyer in Dayton, OH

We have just found a HUD home we are very interested in... The bidding closes in 3 days... until this home we had never considered a HUD home but were

Asked by livingnamaste, Dayton, OH Mon Jul 30, 2012

but were looking at homes to buy on contract (we do not qualify for financing due to a bankruptcy/foreclosure).. This home is listed low enough that we could pay cash for it.. so no mortgage payments and we have a decent monthly income to put into repairs...from what I have been reading.. it seems that I need to get an inspector out there ASAP besides basic info I need to find out about lead and then get someone to give basic estimates on getting the HVAC updated to make sure we can afford it IF problems arise... IF this seems doable and I but in a bid.. .. What else could go wrong?? ... it seems that if the bid is rejected or I am out bid we are just out the cost of the inspection.... if accepted the worst is we could get stuck living in a home as we get work done on it... Am I missing something else I should consider?

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7
Linda S. Cefalu’s answer
In my experience with HUD homes, I find that the asking price is ridiculously low in order to attract multitudes of potential buyers - a kind of a teaser rate if you will. Once the actually bidding is over, these homes generally sell for a much higher price than most of the bids. Just don't want you to get too excited about that price.
0 votes Thank Flag Link Sat Aug 18, 2012
Robert that is why you do a final walk through to make sure it is in the same condition as when you offered on it.
0 votes Thank Flag Link Sat Aug 18, 2012
Live and learn..... Very expensive life lesson. Hope others don't make the same mistake we did.
Flag Sun Aug 19, 2012
It's very safe to assume that ALL the copper plumbing has been stolen! We inspected a HUD prior to buying it and all was good. We found out later that ALL the copper plumbing was STOLEN before we signed the papers. Guess what ? We were SCREWED ! We had to pay for ALL new plumbing lines !
0 votes Thank Flag Link Sat Aug 18, 2012
what is involved in buying a foreclosure for son and will they go fha> we will buy and let him make payments how quick can one close and get in> who is resp for back tax utilities etc since they (former oowner) what if any are hidden costs? Best to deal with bank> what if bank is not listed?
0 votes Thank Flag Link Wed Aug 8, 2012
If you have not found anything for your son I would like to talk with you regarding FHA purchasing REO owned, There really is too much to type in here. My email is Carolyn.Miller@Coldwellbanker.com.
Flag Thu Oct 18, 2012
I would view the home and make a cursory inspection. Then you can decide if further inspections are needed. The HUD package should have their inspection results in it and give you a good idea of what is already determined to be an issue by HUD. They also statel how much money they determine is necessary to get the home "liveable". If you want to give me a call; I can look this home up and see what HUD has determined to be issues.
0 votes Thank Flag Link Tue Jul 31, 2012
You have a good plan. My question to you is whether the inspections must take place before or after the bid process? How you answer will determine when you incur the inspection costs.
0 votes Thank Flag Link Tue Jul 31, 2012
You need to contact a Realtor® that works with a HUD registered broker as soon as you can. The first step would be to print off and review the HUD property disclosure. The next step is to view the home. I would put in a bid before a home inspection because as an owner occupant if omething comes up that was not disclosed you do have an out.
Normally when I view HUD homes with my clients the properties are in no condition to live in while doing an ongoing live in rehab.
0 votes Thank Flag Link Tue Jul 31, 2012
Thanks..I appreciate the help... I have viewed the home and it does seem livable...which is why I want to move on it...I have a Realtor that is registered but it is a new relationship..I do not have a meeting with him until this afternoon and I am a "control freak" :) so I am trying to cover all my bases... I have viewed the disclosure on the site it... has nothing except the escrow amounts for inspection of electric - water heater - and plumbing inspection..I am trying to wade through the other documents.... and figure out if I should be looking to call some contractors for general estimates so I can make sure this will work for me...also wondering if this is as good as it seems does my cash offer trump anyone that has to have financing?
Flag Tue Jul 31, 2012
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