You must be prequalified for financing, but being preAPPROVED puts you in a stronger position. It is wise to work with a New York State lender as many lenders from other states do not underwrite loans outside of their state nor are they familiar with the closing process in New York. The same goes for internet-based lenders. Also, most sellers will not accept offers with prequal's from outside the state. The best bet is to use a mortgage broker such as 1st Priority Mortgage which will place your loan with the lender that best suits your needs and be available to take you through the process on a one-on-one basis vs. setting you out to sail in a sea of customer service reps.
So the order of business is to obtain your mortgage pre-approval, view the home, submit your bid, then once your bid is accepted have the inspection done and finalize your financing. HUD likes to close in a short amount of time (4-6 weeks) so you really need to line your ducks up and make sure they stay in a row throughout the process.
My name is Pushpa Gunatilake and I am with Pioneer Star R.E. in Buffalo area. This HUD property is still available. It is open for all bidders which means it is open for any one. (owner occupied or the investors) You have to verify how much repairs in the property and how much would be the cost. What you could do if you have any handy man,walk through with him. You do not have to get home inspection before you make an offer. But at least if you walk through with the real estate professional, who will be able to tell you what should you do. In order to bid for this property you will need,pre-approval letter from the bank and $500 certified check in your hand. I've successfully closed some HUD deals for my clients. If you need more info. and wants to go forward soon,please feel free to call me @ 716-907-3046 or e-mail me at email@example.com with your information. I will be happy to contact you.
Hope to talk to you soon....