HUD Home Question

mhuang_us

I signed a contract for a HUD owned home which is supposed to close next week.  It seems we will not be able to close the deal on time due to the delay at the HUD/Lawyer side (I heard from the agent it's title related issue).

If I decide not to extend the contract, what is the process to inform HUD and get my earnest money (EM)? Or am I qualified to get the EM back due to HUD/Lawyer's delay? My agent does not know much information on HUD related transaction.

The contract does 'vaguely' mentioned the contract extension.

Thanks for the help.

daydayup

You need to work with your agent. If your agent does not know, ask the agent to find out from agent's broker.
If the broker does not know, ask the listing agent.
If the listing agent does not know, call hud office directly.

To my knowledge,
If you are owner occupant, you maybe able to get your money back.  
If you are an investor, no.

mhuang_us

It's an investment property. Yes, I also read it from somewhere that event the inspection fails, HUD may not return the EM for investors.

It's an investment property.

Is the contractor considered as voided if it can not be closed on time due to seller's (HUD in this case) reason unless both sites agrees to sign an extension?  I guess HUD has its own rules.

Thanks.

It's a legal issue, pls talk to an attorney.

It has little or nothing to do with primary or investment property. I am not sure what kind of contract you are using. Sometimes HUD uses its own contract; Other times, it uses the GA standard Purchase and Sale Agreement plus an addendum from HUD. In either cases, you can simply call the closing attorney (McCallar Rymer?) and ask them what your options are. If they say you would lose your EM, simply ask for the line item(s) in the contract or the addendum related to the closing delay. It should be self explanatory. As a long-time mortgage broker in GA closing many many HUD loans, we rarely see borrowers losing EM for HUD houses.

为了避免做广告的嫌疑，我就不留名了。

daydayup

HUD loan as FHA loan Or as buyer use a loan to purchase a HUD home?
I only took two hud classes and handled a few HUD cases. I hope I am wrong and OP can get it's money back.
please lets us know how does it turn out.

License real estate agent.
My contact info could be find easily.
I am here to promote my business by helping other people. 

Very helpful information!  Thanks.

I'll let my agent know, and hopefully we can get in touch with the the closing attorney tomorrow.  The closing attorney hardly return email or phone call.

You or your real estate agent can call HUD GA regional office or one of three Asset Managers in GA to get an answer under your situation after checking your signed purchase addendum.

GA Atlanta Regional Office
40 Marietta Street
Five Points Plaza
Atlanta, GA 30303-2806 ED JENNINGS, JR.
Regional Administrator (404) 331-5136
Fax
(404) 730-2392
Email Region IV
Atlanta GA

AM contractor
Georgia:

PEMCO, Ltd
3525 Piedmont Road Bldg 5 Suite 310
Atlanta, GA 30305
800.881.9260

Ofori
2000 RiverEdge Parkway, Suite 300
Atlanta, GA 30328            
877.667.9022

HomeTeleos
1283 Murfreesboro Pike, Suite 200
Nashville, TN 37217
866.971.2214   

Hope it helps.
Thanks,

Heidi Wang
Associate Broker
Crye-Leike Realty Inc

Any one know the process/forms in order to switch to CASH deal for HUD home?

I signed a contract with HUD on a property which is supposed to close June 20. It was signed as financing/mortgage payment.

I decided to switch to CASH payment due to the complexity/trouble involved for bank to approve a property with high cost of repairement.

We emailed our decision (Change to CASH deal)  to closing attorney and asset manager yesterday and have not received any response yet.  Those folks hardly response our emails based on previous experience.

Does anyone have experience or know the process/forms on how switch to CASH payment for a HUD home? Any help is highly appreciated!