HUD Homes

U.S. Department of Housing and Urban Development

What is a HUD Home ?

When homeowners default on their FHA loan, HUD takes ownership of the property, because HUD oversees the FHA loan program. These properties are called either HUD homes.

How Does a HUD Homes Work ?

When someone purchases a home with a HUD-insured loan and defaults on it, HUD eventually evicts the homeowner and puts the home on the market to recoup some of its losses.

How to Qualify for a HUD Home ?

As an owner-occupant, you can qualify for a HUD home if you plan to live there for at least a year and haven’t purchased any other HUD homes within the last two years.


How to Search for HUD Homes ?

A list of HUD real estate owned (REO) properties for sale may be found at HUDHomestore. You can use the website to filter results by state, county, and ZIP code.

What is the cost of HUD homes?

Housing and Urban Developmen (HUD) homes are appraised and priced at or near their fair market value. This price is determined by the marketing and management contractor.

HUD Home Financing

HUD doesn't directly finance HUD dwellings. There are other possibilities, including VA loans, USDA loans for rural development, conventional mortgages and FHA loans.

How much down payment is required for a HUD Home ?

The down payment required for your HUD house will vary depending on the loan type, the lender you choose, and your financial status.

How to Buy a HUD Home ?


To buy a HUD home, you must go through a bidding process with a licensed HUD-approved real estate agent.