I'm in the market for a GNND HUD loan, which is exclusive to first responders and teachers. One caveat to know is that I can only offer the full listing price of the home, no more and no less.
When my HUD-broker is submitting a bid for a property, HUD automatically prefills box 6b that pays HUD's listing agent for the property at a 3% commission, however I can elect to remove the responsibility of HUD in box 6a to pay my listing broker by assuming that payment out of pocket.
The advantage of this, is the Net-To-Hud (7.) total at the end of the sale is higher, since HUD saves 3%.
The downside, is even if I offer full price for the home, I can't offer to pay the 6b costs, so the most I can offer is the listing price less 3%.
This puts me at an unfair disadvantage to acquire a HUD property, since other owner occupants can just offer the same price as me, and to pay the full closing costs and win the action, or just offer enough over me to make up for that difference.
Do any of you know a way I can increase the appeal of my offer to a HUD broker by increasing Net-to-HUD (7.) by any other means under the GNND loan requirements?
Thanks. Just trying to compete in such an aggressive market. I've included a sample of the bid offer page below for reference.