| Perhaps you don't want to buy a foreclosure as an | | | | want a condo in a city or small house in a rural area, |
| investment. You want to buy a home to live in and you | | | | you will eventually find a discounted HUD house that |
| don't want to spend a small fortune on the purchase. | | | | matches that description. |
| HUD homes are a great option for the | | | | 3) HUD offers special buyer programs. The Good |
| occupant-homebuyer for a few reasons: | | | | Neighbor Next Door Sales Program offers a 50% |
| 1) HUD homes mean instant equity. Many of these | | | | discount to teachers, law enforcement officers, |
| homes are sold at below market value. The exact | | | | emergency medical technicians and firefighters who |
| discount varies, but even small discounts can mean big | | | | buy an HUD house as a primary residence and live |
| savings over time. For example, let's say that you | | | | there at least 36 months. The HUD also has a |
| purchase a $100 000 HUD home for $80 000. Not only | | | | program that lets public housing residents convert their |
| do you not have to borrow or repay that $20 000 | | | | rent into mortgage payments on an HUD home. The |
| difference, but you do not have to pay interest on that | | | | HUD also has a special program for Native Americans. |
| amount. That amount counts towards the equity of | | | | If you qualify for one of these programs, you could |
| your home. Having equity in your home raises your | | | | buy an HUD property for very little money. |
| credit rating and can mean a better loan interest rate | | | | 4) HUD homes are purchased through a real estate |
| as well. In the event of an emergency, equity in your | | | | agent. Unlike other foreclosures, which are bought |
| home protects you, since it is an asset you can | | | | through a risky auction, HUD homes are purchased |
| borrow against. | | | | through an HUD-approved real estate agent. If you |
| 2) HUD homes offer similar variety as the traditional | | | | want to buy an HUD house, contact such an agent |
| real estate market. You can find HUD homes in just | | | | and he or she will guide you through the buying |
| about every size, style, and community. Whether you | | | | process. |