Denver HUD homes are owned by the Department of Housing and Urban Development. It is very important to remember that HUD homes are always sold in As Is” condition, which means that HUD will absolutely not make any repairs to the property and they do not warrant the condition in any way. When homeowners with HUD-insured mortgages default on their home loans, HUD forecloses the properties and sells them to the general public at public auctions. Keep in mind that on most sales, the buyer can request HUD to pay all or a portion of the financing and closing costs. View all Denver HUD homes for sale, set up viewings, or just learn more about the market. Extensions of this deadline can be authorized by HUD by prior written approval.
HUD Homes are initially offered to owner-occupant purchasers (people who are buying the home as their primary residence). Yes, you can use any lender, however, because the HUD purchase process is so much different than a normal home purchase, I would recommend that you use a local lender that is familiar with the HUD purchase process (this is important!). HUD homes have an exclusive listing period, at which time any owner occupants can submit bids for the property.
Lastly, the purchaser may also qualify to assume the existing loan on the HUD home, allowing him or her to keep paying the same mortgage payments the previous owner was making before the foreclosure. HUD homes are sold as-is The new owner is responsible for all repairs and improvements. HOWEVER, it is important to remember — from the get-go — that HUD homes are sold in AS IS condition, which means that HUD will not make any repairs, and does not warranty the condition of any of its properties. Ask your agent to provide comparable sales for HUD homes because there is no guarantee you will get a break on the price.
Unlike a customary arm’s length real estate transaction, there are no negotiations, no haggling or offer and counteroffers between the buyer and seller of a HUD home. You’ll also be working with an Asset Manager (AM), who is a contractor hired by HUD to market and sell the property. These particular homes are then sent to their designated local listing brokers/agents to help market and facilitate the sale.
This program is only for people who are going to buy the homes to live in. It is not for investors! HUD also offers special home purchase programs for teachers and full time law enforcement officers. For your convenience, gives you all of the available contact information for these homes with each listing. The government owns HUD and you can be fined up to $250,000 for not following their rules and procedures. The HUD $100 Down Payment Program is a great way to purchase a home if you do not have a lot of money for a down payment.