HUD homes are becoming more and more prevalent in California with the struggling economy and declining housing market. HUD homes are essentially California foreclosure homes where the loans were FHA loans backed by the department of Housing and Urban Development.
How to Find California HUD Homes for Sale
HUD homes are different than other foreclosure homes in the way offers are made. With California HUD homes, offers are made electronically. Finding HUD homes can be the same as any other type of California property, as California HUD homes are also listed on the MLS.
Things to Know about Buying HUD Homes
To buy a HUD home in California, you must use a real estate agent registered with HUD. Your real estate agent can show you the HUD property’s for sale. Initially when HUD homes are listed, they are usually only made available for people looking to purchase the home as an owner occupied property. If the home doesn’t sell during the owner occupied period, then it is open up to bidding by all interested parties. California HUD homes are managed by a company called PEMCO. This company secures the homes, and arranges for inspections and appraisals to be done. These reports can be found on the HUD Website.