A complete step-by step guide for purchasing HUD Homes in Georgia. Part Four of Seven: How to bid on a HUD home?

By
Real Estate Agent with Better Homes and Gardens Real Estate Metro Brokers

Bidding on HUD HomesIn Part 3 of this series How do you find a HUD home in your area that is for sale? we discovered that the best way to find a suitable HUD homes is to engage a real estate buyer's agent that is proficient in the HUD buying process.

Once you have found a HUD home that is suitable for your needs, it's time to consider making an offer. In the state of Georgia, HUD uses a blind bidding process that allows each potential buyer to enter a bid prior to a clearly defined bid deadline.

Before having your buyer's agent enter your bid, you need to do several things. First and foremost, you need to read and understand the property inspection report prepared by the HUD inspector. The inspector evaluates the condition of the property in order to establish an appraised value.

Finally, before you decide on a final bid price to offer, it is imperative that you ask yourself this question:

Is it more important to you to get the house or to get a good deal?

That's a fair question, and it is an important one. Some buyers fall in love with a house, and want to ensure a good chance of entering a successful bid. Other buyers are more intent on getting a deal on a house, and that overrides their desire for any particular property.

As long as a buyer is willing to lose the house, a low bid can be proffered. But if a buyer really wants the property, one must seriously consider the HUD appraisal price as at or near the market value.

In Georgia, a licensed real estate agent must be used to enter a bid for an owner-occupant HUD property. And remember that experience is counts.

The most valuable asset that a HUD buyer can have in the bidding process is the assistance of an experienced real estate professional that has successfully entered winning bids on behalf of their clients!

Next: Part 5, What happens after your HUD bid is accepted? Previous: How do you find a HUD home in your area that is for sale?

close

Re-Bloggged 1 time:

Re-Blogged By Re-Blogged At
  1. Pam Simpson 09/23/2009 01:15 PM
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the eye to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Topic:
ActiveRain Community
Location:
Georgia Coweta County Newnan
Groups:
Club Chaos
Dedicated Bloggers
North Georgia Real Estate
The Lounge at Active Rain
"Whacked"!!!
Tags:
hud bids
bidding on a hud home
newnan hud homes
coweta hud homes

Comments 14 New Comment

Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the chair to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Rainmaker
665,405
Claude Cross
Charlotte NC Homes For Sale
Claude Cross-Charlotte NC Real Estate(Homes By Cross, Inc.)

Richard - We have quite a few HUD homes for sale here. This series is excellent

August 21, 2009 12:14 PM
Rainer
15,452
Don Sieb
HomeSeeker Center

I enjoyed the series on HUD properties...keep them comming.

August 21, 2009 12:48 PM
Rainmaker
496,405
Patricia Aulson
Realtor - Portsmouth NH Homes-Hampton NH Homes
PRUDENTIAL VERANI REALTY- Portsmouth NH Real Estate

Yes I too enjoyed the information you have provided on this subject.

Thanks for sharing with us. 

Patricia Aulson/portsmouth nh

August 21, 2009 09:08 PM
Rainer
36,039
Adan Aguillon
Clark Realty & Associates LLC

Richard,

    I am the HUD expert in San Antonio.  Just kidding I am a fairly new agent here in town, but so far I have sold 10 HUD homes since last Apr.  Luckily in San Antonio and surrounding counties there is a plethera of very nice homes available.  I purchased and currently lived in one that is only two years old and all the maintenance we had to do before moving in was steam clean the carpets. 

    Just like I know you are aware It is a silent auction to bid on these houses and here in Texas its usually 10% below that you  can bid for the first month.  After the first month HUD reduces the price 10% and you can bid 10-15% below the new listed price.  I was lucky enough to pick up my town house that was listed for 150K for 114K using this pattern of bidding.  Luckily like you mentioned I wasnt attatched emotionally to the house so I was able to bid a very low amount and luckily I won :)

 

 

August 22, 2009 01:28 PM
Rainmaker
182,817
Sheila Moran
SanAntonioSheila.com, RE/MAX Access, 210-32
RE/MAX Access (Garden Ridge, San Antonio, New Braunfels)

Richard,

This is such a smart sentence:

Is it more important to you to get the house or to get a good deal?

I ask my clients the very same question regardless of who the entity is that is selling.  Are they willing to loose something by not going in with their best offer first?  The answer is sometimes very interesting as well.

Thanks!

 

August 22, 2009 04:38 PM
Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the lock to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Ambassador
1,620,774

Richard Weisser

Richard Weisser Coweta Newnan Homes for Sale
Ask me a question
*
*
*
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the tree to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Additional Information

Author Bio: Richard Weisser is a Georgia real estate broker, licensed auctioneer, and has been writing about Georgia Real Estate since 1999.

Coweta Fayette Real Estate offers opinions and helpful information to consumers and real estate professionals in the Coweta County Georgia area.

Coweta Fayette Real Estate allows you to search the entire Georgia MLS for free with NO registration required!

Twitter cowetafayette