How to proceed with HUD home...
I found a HUD home that appears to be a good deal. The FMV if in good condition (according to my comps) is about $125,000 - 130. It needs about $25,000 in repairs. HUD has it listed for Owner-Occupied at $85,000. It is in a good area that is growing and I expect values to continue to rise. My plan would be to rehab it and old it as a rental property for several years.
On Monday, it opens up bids for everyone including investors. I am concerned that there may be a lot of competition as this type of house has moved quickly in this area. For those of you who have bid with HUD before, what would you recommend as a bid on the property.