HUD/VA - Posted by RL

Real Estate Investing
1

Posted by David Krulac on March 28, 2001 at 21:33:06:

I’ve been bidding on hud/va for over 20 years and unfortunately there are more bidders, its easier to bid, and they often do get overbid particularily the nicer houses in nicer areas. Twice I’ve seen properties get overbid by $30,000! The deals are fewer and further between. I bid 2 in the last week and didn’t get either because I bid reasonable but low.
One was overbid in the first week and the other was bid jsut slight under the minimum, which I felt was FMV or maybe slightly above. Its a circus!

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HUD/VA - Posted by RL

Posted by RL on March 27, 2001 at 20:56:26:

Is it a good idea to stay away from HUD/VA homes as an investment property?

I see the list all the time & notice that it grows and grows.

I have heard mixed opinions on this subject.

Any advice/suggestions?

3

Re: HUD/VA - Posted by Dave T

Posted by Dave T on March 28, 2001 at 24:28:45:

Sometimes, you find investment value in a HUD/VA listed property. The properties with the most value will be fixers, and priced well below market.

Don’t expect the HUD/VA foreclosure lists to be a gold mine. Often the properties are priced at or near full market value without regard to repair costs. However, every now and then, a nugget will appear on the lists.

4

Re: HUD/VA - Posted by RL

Posted by RL on March 28, 2001 at 14:49:44:

Thanks for the response Dave T.
I, too have noticed that there are many properties on the list that the “Minimum Bid” is already priced well over FMV.
I also spoke to a real estate agent that deals “exclusively with HUD/VA properties” and she recommends that I start my bidding at least $5000 over the “Minimum Bid” to avoid competition (Ha!!! Yeah, right!!! Like I am going to do that!).

Thanks again.