HUD Bidding - Cash vs Loan Offers

[Keerthi A.]

Would HUD prefer a lower value cash offer vs a much higher offer using loan. Or is it highest offer irrespective of the funding.

Lets say, a property is listed at 50K. Would HUD pick up an offer of 52K cash vs 55K loan.

I know cash offers are preffered in the regular REO sales. But how does HUD deal with selecting the offers.

Please share your experiences.

[Patrick L.]

HUD will take the offer that results in the highest net to HUD. No preference is given to cash.