Real Estate Agent Investing in HUD home

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I am a real estate agent interested in purchasing a HUD 3 family home as an investment property for myself and husband. There is a broker listed for the property. If I bid on the property does it go right to the listing broker anyway or is there a way I can bid and potentially save money as a real estate agent not taking a commission. Thank you for any feedback.

[Greg H.]

Originally posted by @P. Martin:

What Brandon said. HUD has strict rules about agents bidding on properties for themselves. Be certain you are not breaking any of them before you bid. This includes not buying an owner occupant property as an investor(a felony).

As for your commission, you can't reduce it because you can not bid on this property for yourself, even if there were a way to reduce commissions in a hud sale.

At any rate, a HUD sale is different from a normal purchase in that there is no one sitting there making an emotional decision based on things like "oh look this agent is reducing their commission so let's pick that offer instead." It is based purely on a math calculation. Highest bid above the reserve price is selected

Several things are incorrect in your post. As a Broker, I have purchased 200+ HUD Homes over the last 20 years and it represents approximately 90 % of my flip inventory

As a agent bidding on a HUD property , the restrictions are no different than any other purchaser with the exeption of agents working for the Listing Broker are prohibited for bidding on homes for themselves

You can absolutely reduce and even forfeit your commission by placing $0 in the buyer's agent commission field. Placing $0 for an agent is more beneficial than collecting the commission and paying taxes on the property. Since the net to HUD is the only thing that matters to HUD, I can buy the property for 3% cheaper than a non agent. For example :

$100,000 Bid

$6000 Commissions (3% to listing and selling Agent)

$94000 Net to HUD

97000 My HUD Bid

$2910 Listing Agent Comm

$94,090 Net to HUD and I win by $90

If you work under a Broker, forfeiting your commission is subject to what is allowable in your agreement with your Broker