Has anyone ever wholesaled on HUD properties? How successful were you and can you offer any advice?
I've not done it, but I've seen it done. @Mark Ferguson is an expert on HUD properties.
Keep in mind that if you bid as an investor (you should) and you hand over your EM, its gone. There are no inspection contingencies on HUDs. If you don't find a buyer and can't close yourself you will lose your earnest money.
I don't wholesale HUD's, but there am few things to tenement.
HUD won't allow a contract to be assigned. You have to use a double closing or in have heard some investors buy with an LLC and then sell that LLC.
As @Jon Holdman said, you will lose your earnest money if you cancel the contract.
HUDs are easily seen by all investors on hudhomestore and the MLS.
Thanks for the information!
I almost wholesaled a HUD property, but thought it was too tight and didn't want to lose my earnest money. As said above, you will lose your emd if you cancel and you can't assign the contract, but there is no seasoning period like with Fannie. I know SREC and Larry Goins have a lot stuff on HUD wholesaling and flipping if you want to look into that more, but both are sales pitchy and expensive.
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