Posted by JT-IN on October 06, 2003 at 19:50:53:
Phil:
I am watching the game and rooting the Bos Sox on as I type… Pedro looks tuff tonight, and I’m rooting them all the way.
The only time I wasn’t rooting them was in the 1975 series… vs. the The Big Red Machine… that was a different story when the Reds were involved…
Got some Yankee fans in the in-law family so I would love for the Sox to spank the Yanks… in the AL Championship series… Go Sox!
JT
I don’t understand HUD - Posted by BJ
Posted by BJ on October 05, 2003 at 18:22:49:
I know this is a rookie question for you professionals but please bare with me.
I bid on a HUD Home, here are the specifics.
The retail price is $70,000.
The house has a lot of damage.
The home has been listed for over 6 months with no bids.
On Sept, 28th I placed a bid for $35,000
On Oct, 3rd (Friday, 5 days later) bid was listed on the HUD “all bids” page.
The Bid Opening is: Daily-All Purchasers
The deadline is: Daily
Is a bid accepted once it’s listed on the all bids page,
and if no one bids higher, I win?
Please someone explain the weekend bid in easy terms. I could just wait until Monday but I’d like to know what I’m doing for future reference.
Re: I don’t understand HUD - Posted by Rick in Erie
Posted by Rick in Erie on October 06, 2003 at 17:00:51:
I just bought a house from HUD in march, and my partner has bought about 4. The one thing I noticed is that if a bid falls thruogh (accepted by HUD) and then you notice the property back on within a week, they will take lower bids. I was one listed at 49,000 and they took a bid of 48,000. Then the bid must have fallen through, because ti showed up again. then some one bid 38,200(less than 80%) and HUD took it. (HUD also had an appraised value of $60,000 on it)!—house would market around 75k as well—I was kicking myslf for not bidding!--------The house I currently live in is also a HUD home----appraised at 33,000 by HUD (it will sell for 50,000+ with cosmetics) it sat for 45 days and HUD reduced their price by 10%–they always do after 45 days at least in my area. down to $29,700. I started low-balling (19k then 22k, then 24500) not enough. My last bid was 25,650. and they got a bid for 29000 and took it. I went to California for a week, and when I got back it was back on the market. I called my realtor that night and put in a bid for $25 more $25,675—they took it(77.8%)!—HUD appraised it at 36,850 as well. (needed minor work, but not 3850 worth to make it at 33,000—I moved in and lived here since the day of closing) Watch how long the property has sat (mine was a rare case—middle of winter, It whould have sold at 33k easily)—you can get some deals if it has sat for a while—I don’t think HUD is as fixed as people think. When a property is first listed, they probably won’t take a 90% bid. If it has sat for 6 mos. they will probably take 85% or less. Also watch what HUD has the property appraised for. I have seen some very low and very high apprasials. I was a property originally listed for 60k sell for 15k. Keep your eye on the market ( I printed the listings for at least 6 months–watch what bids are taken and which aren’t) Also watch your market, you will see listings that are way below market. Good luck with the investing!----------Rick
HUD bids - Posted by Kevin IL
Posted by Kevin IL on October 06, 2003 at 10:21:13:
Your bid is not made public until after it is rejected or accepted. The HUD bids are received by a computer that checks if the bid amount fits in the “acceptable” parameters. If it’s acceptable, you win and bidding stops. No one can outbid your accepted offer.
Re: I don’t understand HUD - Posted by freeman
Posted by freeman on October 05, 2003 at 19:55:15:
I don’t know about the 87-90% thing, but I know I don’t like the HUD process. I recently bid on a HUD house. No counter-offer or anything. Just not accepted. Then my bid went up on a public website for the whole world to see. The next guy along can see my bid and litterally “one-up” me by bidding over me by just one dollar (since he can see my bid). I’ll still bid on HUD houses in the future, but my bid will be based on an analysis of the deal. If I can’t make good money at 90% of list, I won’t offer that much. They say opportunities are like trains. If you miss one, another will be along shortly. I hope so, cause I haven’t gotten a deal yet, but I’m still trying.
Re: I don’t understand HUD - Posted by Rob FL
Posted by Rob FL on October 05, 2003 at 19:52:51:
Find a real estate agent who understands HUD homes. Don’t bid through agents who are ignorant of the process. Minimum net bid in most areas is 87% of the asking price. Anything below that is automatically rejected by the computer. If your agent doesn’t know this, it may be time to shop around for a new one.
Re: I don’t understand HUD - Posted by Nate(DC)
Posted by Nate(DC) on October 05, 2003 at 18:46:13:
They won’t accept your $35,000 offer. If you offer less than a fixed percentage below asking price (generally around 87-90 percent), your offer won’t even be considered. You have to wait for them to drop the price to a level closer to what you are willing to pay, if you want that offer to be accepted.
NT
Re: I don’t understand HUD - Posted by Nate(DC)
Posted by Nate(DC) on October 06, 2003 at 24:50:47:
My opinion: The HUD bidding process is not designed to benefit anyone…except HUD.
NT
Remember The Good Old Days of HUD - Posted by phil fernandez
Posted by phil fernandez on October 06, 2003 at 10:15:27:
when you could make good low ball offers that were accepted. And there were some great deals at the regional HUD auctions.
I don’t waste my time anymore on HUD.
Re: Remember The Good Old Days of HUD - Posted by JT-IN
Posted by JT-IN on October 06, 2003 at 18:12:13:
Brother Phil:
Back about 5 or 6 years ago, prior to HUD exposing those repo’s to all those folks via MLS… HUD was a viable way to make a few decent purchases… Once they wised up, and began using Master Brokers and the MLS… say goodbye to using the words “Deals and HUD” in the same sentence.
For about a 6 month period that was nearly my only source of buying houses… No super deals, but highly predictable, profitable turns…
Hope all is well up east… I’ll bet the leaves are starting to fly about now.
JT-IN
Hi JT - Posted by phil fernandez
Posted by phil fernandez on October 06, 2003 at 18:51:29:
JT,
I miss those days with HUD. I used to get some good deals from them, but no more. I don’t even bother following the HUD listings.
Leaves are at about peak now and getting cold at night. No ice on the lake yet. LOL.
Please pray for my Red Sox tonight.