HUD Homes in Utah
Every year hundreds of HUD homes in Utah are listed at thousands below market value. Utah is one of the most popular places to find these value-priced properties. Read on to learn how you can bid on HUD homes in Utah and, possibly, win the opportunity to get an amazing deal on a local property.
Where to Find HUD Homes in Utah
Michaelson, Connor, & Boul manages all HUD homes in Utah. You can find a database of currently listed HUD homes in Utah on the firm’s website.
The database includes a picture of each property’s exterior as well as a property condition report, detailing any problems with the home.
The database also includes the ending auction time for each property. HUD homes in Utah are initially offered to owner-occupant bidders (people who will live in the home for at least twelve months). If no owner-occupant bid is accepted, the auction is opened to everyone – including investors.
Real Estate Agents Representing HUD Homes in Utah
Agents at Michaelson, Connor, & Boul list HUD homes in Utah and act as the seller’s agent. You may choose to have these agents represent you as well, or you may select another agent.
Because the agents at Michaelson, Connor, & Boul are primarily representing HUD, it’s often a wise choice to select an agent from another firm – someone who will act in your interest alone. On the other hand, Michaelson, Connor, & Boul agents will usually know the most about the property and may be able to give you an estimate of the property’s popularity (information that may be helpful when it comes to bidding).
In order to act as agents for HUD homes in Utah, realtors must have HUD training. The training program is relatively simple (usually a few hours of video instruction) and almost every brokerage has at least one agent that is certified. You can find a realtor specializing in HUD homes in Utah by calling agencies you’re interested in and asking about their certification status. (See also: What You Need to Know About HUD Approved Realtors).
Qualifying to Purchase HUD Homes in Utah
In order to bid on HUD homes in Utah you must meet two basic qualifications: you must be able to prove your ability to receive financing and you must have up-front earnest money.
Bidders must submit either a pre-qualification letter or a pre-approval from a lender. You can get a pre-qualification letter by making a quick phone call to your lender or by filling out a simple form online. The information you provide will be used to estimate the mortgage amount you qualify for –you will not be asked for documentation and the information will not be verified. (Of course, everything will need to be verified once you win the auction and begin the loan process). A pre-approval letter requires that the lender actually check your financial background and verify that you will qualify for the loan.
Bidders must also submit a certified check or money order as earnest money. The amount varies depending on the value of the home, but you will usually need between $500 and $1,000. Your real estate agent will hold on to the check / money order until your bid is accepted. (See also: How to Qualify to Purchase HUD Repos)
How to Bid on HUD Homes in Utah
Bidding on HUD homes in Utah is a relatively simple process. After viewing and evaluating the property of your choice, ask your realtor to put together an offer prior to the deadline. Your agent will submit the bid via the internet, and you will be informed of the decision the day after the auction’s close.
HUD will award the house to the bidder with the highest offer (assuming that offer meets HUD’s minimum price requirements).Your agent will receive a call if your bid was accepted. If you were “second place” you may be put on a backup list to buy the house should the winning bidder fall through.
Once your bid is accepted, you will have about 45 days to secure financing, get an inspection, do a final walkthrough, and sign escrow papers.
Learn More About HUD Homes in Utah
You now know the basics of buying HUD homes in Utah. For more thorough, step-by-step instructions, see: The HUD Foreclosure Guide. Experienced buyers may also be interested in: The Secrets of Buying HUD Foreclosures.