Hud house under contract - fence Encroachment issue
got a hud bid accepted, under contract, paying cash, investor bid, got an inspection...it's a relatively new house (2009) in a neighborhood that still has new houses going up.
We have a little over 2 weeks left to close and hud contacts my agent and says the neighbor called and is claiming the properties fence is encroaching on their yard by a little. We went by and looked at it again and i could see that on the side shared with this neighbor it's about 30 feet of fence along the line, the front end looks fine, but you can see as it goes to the back of the yard it could be going into their yard by the end of the fence by maybe a foot or 2. We talked with the neighbor and they said they had an old survey from over a year ago when they were thinking of installing a fence when they noticed this. the previous owner ignored them and the house foreclosed and they've been trying to get ahold of bank, or listing agent and nobody returns calls appratently until when we get it under contract. We asked her to email us the survey, she said she would but she hasn't. Hud said that they've been in contact with her and she had promised to email them her survey as proof but they say they haven't gotten it yet either.
So...we were not planning on getting a survey, but after this was brought up seems like we need to. The thing is we got such a good deal, I would close on it one way or another including this encroachment issue.
My question is, since it was hud that alerted us to this, should we rush to get a survey quickly before closing? or should we just go ahead and close and deal with it at our leisure. The main thing i'm looking for is would something like this get us a credit from hud to close with the encroachment issue acknowledged? I know hud won't fix "regular" stuff usually, but would this be something we could get hud to escrow some repair money for even though it was investor bid?
Thanks in advance BP!