HUD Homes

The fyi's before you bid.

HUD Homes: All properties are sold in “As-Is” condition, with no warranties or guarantees provided.

Bid Timelines

HUD reserves the right to accept or reject any and all bids, waive irregularities, or withdraw properties from the market without notice. Any errors in documentation, such as contracts or financial forms, are not the responsibility of HUD. As the LLB, we do not have access to the bids or status of them until HUD accepts them. Please monitor your bid status via HudHomeStore.com

Code and Zoning Compliance:
Buyers should be aware that properties may not comply with current zoning or building codes. Determining compliance is the sole responsibility of the buyer and their buyer agent. HUD will not provide a smoke certificate.

Property Condition:
No repairs or improvements will be made by HUD after the sale is finalized. Buyers are strongly encouraged to hire a professional home inspector to assess the property’s condition before purchasing.

Purchasing HUD Properties:
Interested buyers should work with a HUD-approved real estate broker to view listings, schedule property visits, and submit offers. HUD may contribute up to 3% of the purchase price toward closing costs if this is specified in the purchase agreement.

Broker Commissions:
To receive a commission, brokers must include their requested commission amount in the buyer’s offer submission.

Changes in Financing:
If a buyer changes from FHA 203(b) or 203(b) Repair financing to Cash or Conventional financing on properties where HUD has already initiated or completed specific work, such as Lead-Based Paint Stabilization or Termite Hazard treatments, the buyer will be required to reimburse HUD for associated costs at closing. Closings will not proceed until these costs are paid.

Insurable, Insurable w/Escrow, Uninsurable: What they mean?

HUD uses specific codes to classify homes based on their eligibility for FHA financing in their current condition.

1. IN - Insurable

This means the property meets the requirements for an FHA 203(b) loan without needing any repairs. The FHA 203(b) is the standard loan product for most first-time buyers.

What it Means for Buyers: These homes are move-in ready and typically also qualify for conventional or VA financing (though VA loans have separate requirements, so consult your lender).

2. IE - Insurable with Escrow

The property is eligible for an FHA 203(b) loan, but some repairs are needed, totaling less than $10,000.

How It Works:
- An FHA appraiser estimates the repair costs and adds 10% as a buffer. For example, if repairs are estimated at $1,000, the escrow amount will be $1,100.
- The buyer funds this escrow, which applies only to FHA loans, not cash or conventional transactions.
- Repairs begin after closing and must be completed within 90 days. The lender inspects the work and pays the vendors directly.

3. UI - Uninsurable

These properties need more than $10,000 in repairs to meet FHA standards and don’t qualify for FHA financing in their current condition.

Are They Still Financeable?
- Some may qualify for an FHA 203(k) loan, a specialized rehab loan that bundles the cost of repairs into the mortgage.
- While this type of loan requires more effort and expertise, it can be a great solution with a skilled agent and an experienced loan officer.

HUD REO CONTRACT TO CLOSING PROCESS

Please reach us at cponte@kw.com if you cannot find an answer to your question.

BUYER AGENT AND BUYER INFORMATION

OUR HUD TOLL FREE NUMBER TO CONTACT OUR TEAM IS 855-484-7253

If your bid is accepted.

You need to refer to your email from RAINE Portal via email with Subject " Congratulation on Contract Award"
In that email, as a HUD Approved Buyer Agent, you will get a log in to the contract portal RAMP. Your portal user name and access for Password is in your email.
You MUST get the buyers Deposit to our office within 24 hours, in the form of certified funds made payable to the BUYER SELECT CLOSING ATTORNEY. Our main office to drop off check is 275 Martine Street, Unit 109, Fall River, MA 02723.
After you complete these steps, you get an email that requires that you complete the Bid CheckList.

After your contract is executed.

Buyer, Buyer Agent, Listing Broker and HUD will sign this contract electronically. After your contract is signed you will get an introduction email from LLB, Cliff Ponte.
The Buyers Agent and Buyer are required to Notify the Buyers Closing Attorney of the executed contract. The contract expiration date serves as the scheduled closing date. A $150 fee applies for contract extensions, payable before approval. It is the buyers agent/broker's responsibility to inform the closing attorney of this fee.
Smoke and CO Alarms: HUD is exempt from installing smoke and carbon monoxide alarms (per federal law). The buyer must coordinate compliance with local requirements post-closing.
Property Access Restrictions: The buyer is not allowed on the property without approval. Inspections, appraisals, or contractor visits must be coordinated and accompanied by the buyer's agent.

Contract Extensions: Extensions are processed through HUDHomeStore.gov:

Gather supporting documents (updated proof of funds or lender letter).
Log into your HUD Homestore account.
Navigate to My Bids > Under Contract > Add Extension for the applicable bid.
Complete the fields and upload all supporting documents.
A Docusign envelope will be sent for signatures.

For seller-related delays, include the reason in the comments section when selecting "Buyer Request."Contract Cancellations:Cancellations are submitted through HUDHomeStore.gov:

Gather required documents (e.g., lender denial letter).
Navigate to My Bids > Under Contract > Cancellation for the applicable bid.
Complete the fields and upload supporting documents.
A Docusign envelope will be sent for signatures.

Important Policies:

“As-Is” Sale:
No repairs or modifications may be made before closing. Any unauthorized repairs may result in contract cancellation and forfeiture of the Earnest Money Deposit (EMD).
Appraisals:
HUD does not provide appraisals. Buyers securing financing are responsible for obtaining their own appraisals and covering any cost differences.
Final Rekeying:
Buyers are responsible for rekeying the property post-closing.

Disclaimer:
Email communication does not constitute acceptance of offers or binding agreements. Offers are binding only when a signed purchase contract is in place.

OUR HUD TOLL FREE NUMBER TO CONTACT OUR TEAM IS 855-484-7253

hud broker/buyer DETAILS

LINK: NAID Portal for Selling and Listing Brokers. PLEASE CLICK THE IMAGE ABOVE.

BROKER NAID PORTAL

FIND A BUYERS SELECT CLOSING AGENT

FIND A HUD BROKER/AGENT

NAID PORTAL FOR SELLING AND LISTING BROKER. PLEASE CLICK PHOTO ABOVE.

FIND A HUD BROKER/AGENT

FIND A BUYERS SELECT CLOSING AGENT

FIND A HUD BROKER/AGENT

To make a bid on a HUD Home, you will need to use a HUD-registered Selling Broker/Agent. Use this screen to find HUD-registered Selling Brokers/Agents in your area. The information shown for these brokers and agents is the information on file with HUD. PLEASE CLICK PHOTO ABOVE.

FIND A BUYERS SELECT CLOSING AGENT

To make a bid on a HUD Home, you and your broker/agent will need to select a HUD-registered Closing Agent. Use this screen to find HUD-registered Closing Agents in your area. The information shown for these Agents is the information on file with HUD. If your Closing Agent is not yet registered with HUD, your broker/agent will need to enter the company name and address as well as the specific escrow officer at that office and their contact information. PLEASE CLICK PHOTO ABOVE.

NON-HUD APPROVED BROKERS

Attached is an agreement outlining our roles moving forward. Since your priority is to get your client's offer submitted, and my priority is to sell the property quickly, We have outlined the process to ensure we can submit your buyer's offer.

Submit Highest and Best Offer: HUD rarely counters or requests a Highest and Best offer. Advise your buyer to submit their best offer initially. We encourage your firm to become a HUD-Approved Brokerage. The NAID application processing takes a minimum of 2 weeks.

Only owner-occupant purchasers can bid during the “Exclusive Listing Period.” Submitting an investor’s bid as an owner-occupant is fraudulent. The Owner-Occupant Certification form must be included in the contract package. Falsifying information is a felony, punishable by a fine up to $250,000 and/or imprisonment up to two years, and may result in contract cancellation, forfeiture of earnest money, and loss of bidding privileges.
HUD homes are sold As-Is with no representations or warranties. HUD will not make repairs.
HUD will not provide the appraisal used for marketing. Lenders may require their own appraisal, which is at the purchaser’s expense.
Buyers must select their own closing agent/escrow company on the Buyer Select Closing Agent Addendum. The EMD check will be held by our office until the contract is ratified and then forwarded to the buyer’s selected closing agent.

Feel free to contact me with any questions regarding the bidding process. The quickest way to reach me is via email at cponte@kw.com. We also offer training seminars for HUD Homes.

You do not need to use our office to submit your offer. You can work with ANY HUD approved broker that has an NAID number.

** BUYERS BROKER/AGENT: BEFORE FILLING THIS FORM OUT, PLEASE CHECK WITH YOUR BROKER TO CONFIRM YOUR BROKER IS NOT A HUD APPROVED BROKER. YOU CAN SEARCH YOUR SELF https://www.hudhomestore.gov/brokersearch

NON HUD APPROVED OFFER FORM. (pdf)Download

ABout our HUD LLB Marketing Team

Cliff Ponte, LLB, 3p - MA and RI

Cliff Ponte is , a real-estate broker who specializes in representing HUD through it’s awarded asset management company. Cliff has been handling HUD owned properties since 2010. Cliff has worked with several different asset management companies in the 3P region: Cityside, OFORI & Associates, Sage Acquisitions, BLB Resources & Raine.

My experience with Buyer/Agent Outreach occurs on a monthly basis, professional marketing photos are taken for each HUD assignment, Initial Inspection, Ready to List and Ready to Close Inspections are completed and uploaded in P260 within 24 hours. PLEASE EMAIL US TO FIND OUT WHEN OUR NEXT OUTREACH EVENT IS: CPONTE@KW.COM

"Over the last 13+ years, my team and I have been entrusted with the selling and marketing of homes through the asset management companies for the Department of Housing and Urban Development. We also work closely with the FSM ( Field Service Manager) to ensure property preservation is never an issue on any HUD property assigned to our office." Cliff Ponte

Finally, we are your eyes and ears in our coverage area. Each HUD assignment will be treated with the upmost professional representation.

Goals: It has always been our policy on all of our other REO properties to promote owner occupied homeownership. Owner occupants help to keep up neighborhood standards and promote stable neighborhoods.

Although we cannot dictate who bids on REO homes, we can for our marketing efforts strongly influence who the bidders are. Our goal in selling distressed properties is to find buyers in this order; first time homebuyers, owner occupants, and investors.

Much of our marketing efforts go out to reaching those individuals who believe that homeownership is not obtainable to them. This includes working with minority groups, religious org, non-profit org, community activist groups, as well as many others. It is our strongest goal to create new homeowners wherever possible.

Our Commitment

Our commitment to has been and continues to be toward client satisfaction throughout the industry. Rest assured we will be able to handle every HUD property assigned to us with pride and professionalism from Step 1 to Step 10. In addition, being a leader in the community with Buyer and Agent outreach.

HUD APPROVED AGENT OFFER LINK

WELCOME TO THE HUD-OWNED HOMES CENTER PAGE DESIGNED TO HELP LOCAL LISTING BROKERS/BUYERS

The fyi's before you bid.

Insurable, Insurable w/Escrow, Uninsurable: What they mean?

1. IN - Insurable

2. IE - Insurable with Escrow

3. UI - Uninsurable

HUD REO CONTRACT TO CLOSING PROCESS

hud broker/buyer DETAILS

BROKER NAID PORTAL

FIND A BUYERS SELECT CLOSING AGENT

FIND A HUD BROKER/AGENT

FIND A HUD BROKER/AGENT

FIND A BUYERS SELECT CLOSING AGENT

FIND A HUD BROKER/AGENT

FIND A BUYERS SELECT CLOSING AGENT

FIND A BUYERS SELECT CLOSING AGENT

FIND A BUYERS SELECT CLOSING AGENT

NON-HUD APPROVED BROKERS

ABout our HUD LLB Marketing Team

Cliff Ponte, LLB, 3p - MA and RI

Our Commitment

Broker/Agent Sign-up for Outreach events - Monthly hud news.

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