Buying a HUD home in Salt Lake City is easy to do. Before getting started, though, there are a few things that you should know. I am going to give you 5 tips that will help you save money, have a smooth transaction, and not lose your earnest money. By the time you finish reading this article, you will be a certified HUD home expert.
When it comes to buying a HUD home in Salt Lake City, I have found that there are basically two groups of people, those who know how to do it and those who think they know, but really don't. Most people think that a HUD home is a home that is in really bad shape. While HUD homes in Salt Lake are sometimes in bad shape, they do not have to be. Some of them are actually in great condition. Let's talk first about what a HUD home is.
Here is a list of all of the currently available HUD homes in Salt Lake City
When someone stops paying the mortgage on their house, the bank will eventually take the house back through foreclosure. If their loan was a conventional loan, the bank who held their note becomes the new owner of the home. Once it has been foreclosed, it is usually referred to as an REO (Real Estate Owned) or a bank owned home, or sometimes (incorrectly, I might add) a foreclosure. Here I have to just have to make a plea: Please, for the love of all that’s holy, please don’t call an REO a foreclosure. Foreclosure is a process, not a home. I wish I had some rhyme to help you remember this but I don’t so you’re just going to have to remember it the old-fashioned way.
If their loan was an FHA (Federal Housing Administration) loan and the home gets foreclosed, the US Department of HUD then acquires the home. At this point, we call it a HUD home. So really, it is just a home that gets foreclosed that had an FHA loan instead of a conventional loan. Now you can go show off to your friends that you know what a HUD home is and they don’t.
If you really want to make them feel dumb about it, don’t just tell them what it means; first ask them to tell you what it means. You’ll get all kinds of crazy answers. Then you can say, “no, you moron, it’s….” and then explain it using really simple words. It’s not a great way to keep friends, but it can be fun.
Now that you know what a HUD home is, let's talk about how to buy a HUD home in Salt Lake City. Continue to part 2 of How to buy a HUD home in Salt Lake City to get the five tips on buying HUD Homes in Salt Lake City.
Connor Southworth, Short Sale and Foreclosure Resource (SFR) and Certified Negotiation Expert (CNE)
801-792-5326
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