Can I buy a HUD house for my father?

2 Replies

I am looking to purchase a property for my father to live in/ rent from me.     He turned 65 recently, and is currently living in an apartment.  Although he has a part time job, he doesnt have much cash, and he cannot qualify for a home loan on his own. 

I offered to purchase a small house 2bd/1bath that needs some work, if he paid the monthly note it.  He was a carpenter for a number of years, and is more than capable of doing just about anything that a house needs.     

I understand that HUD homes are typically sold to owner/occupants, at least in the initial offering period. However, I have also been told there are some allowances for purchasing for family members if they are going to be the primary resident...

So, can I use my cash as a down payment on a HUD house, in its initial offering period to purchase a house that my father will live in? I do plan for the house to be in my name.

If you are purchasing during the Exclusive/Owner Occupant period , you would need to occupy the property 

You can purchase under his name with you as the lender


Thank you, that is the way I understood it. However, someone was telling me about the "Family Opportunity Mortgage Program" and understood it could be used to in conjunction with a HUD house purchase.

However, even without a straight HUD purchase, if I am reading this correctly, I could still purchase a house for much less than 20% down.

Free eBook from BiggerPockets!

Ultimate Beginner's Guide Book Cover

Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!

  • Actionable advice for getting started,
  • Discover the 10 Most Lucrative Real Estate Niches,
  • Learn how to get started with or without money,
  • Explore Real-Life Strategies for Building Wealth,
  • And a LOT more.

Lock We hate spam just as much as you

Join the Largest Real Estate Investing Community

Basic membership is free, forever.