I'm just starting out, looking at various listings to get a feel for the market. I am looking at one 5-plex in which the description says the following: "...current ownership has a HUD-backed supportive agency included in the operations at the property. HUD (U.S. Department of Housing and Urban Development) has already set the Fair Market Rent values for 2018...." Does this mean that HUD sets the rent and has other requirements? And, are HUD buildings harder to sell? Are there other implications in investing in a HUD property?
It’s rented to section 8 tenants, or similar. It is privately owned.