Atlanta HUD Homes – I’m Lovin’ Them

By
Real Estate Agent with Atlantic Station Living

Right now, HUD homes are getting a lot of attention in Atlanta. The AJC has ran, at least, three articles about the great HUD opportunities in Atlanta (that I’ve seen) and a quick search on Craigslist last night showed that agents were posting NUMEROUS posts each day advertising Atlanta HUD homes.


This month, two of my clients put contracts on HUD owned properties and got fantastic deals. In both cases, the homes were nearly new and were priced below comparable foreclosure properties. While both the homes need new carpet and paint (which the clients are able to finance into their 203(b) loan), neither property needed extensive repairs. Both clients offered less than ninety percent of the asking price and requested that HUD pay closing costs equaling three percent of the purchase price and each client won their bid. They’re ecstatic, especially since they each qualify to participate in a program that only requires them to put a $100 down payment on the home.


From a paperwork and administrative perspective, the HUD bids were extremely easy to execute and monitor. Because offers on Atlanta HUD owned homes are sold as-is with no warranty and evaluated based on the net to seller that the offer yields, there was absolutely no haggling over minor issues or details of the contract. The purchase and sale agreement is very simple for buyers to understand and to the point. Each offer was submitted during a lottery round and my clients had a response by 11am the day after the lottery round ended, unlike their previous experiences with foreclosures that took over a week to get a response from the bank. The only hassle I have experienced with the HUD contract is the requirement to get original signatures on the contract not only from the buyer, but also the lender and the selling agent’s broker, and even that is a minor hassle.


My clients, both of whom had previously submitted offers on other properties, were thrilled with the ease of the negotiation period and happy to hear that since their lender accepted the HUD appraisal they did not have to pay for an additional appraisal to the tune of $400, which has also shortened the time it takes to close the loan.


All in all, I have to say that the HUD transactions have been some of the easiest and most enjoyable transactions I’ve had during my career, and not only because they were simple transactions on my end, but my clients have been happier too.

 

Comments (1)

Henry Pailles
Chula Vista Realtor,Short sale,Eastlake Real estate,Realtor - Chula Vista, CA
San Diego Real Estate, San Diego Realtor, Chula Vista Real Estate

Hi Tiffany:

I am a realtor in San Diego, CA. I am interested in buying a few rental homes in Atlanta. Would you like to help me?, my email is henry@houseinsandiego.com

I am particularly interested in you guiding me to neighborhoods that are not crime infested, where rents are good, and it is easy to collect them. Where working people live, not high end either.

Houses from $15,000 to probably $25,000, preferably HUD homes or foreclosed homes, light fixers.

Where I could probably expect rents to be in the $800/mo range.

Am I on the right track?

Feb 11, 2011 10:07 AM