HUD Foreclosure -- Pool Cover Removal?

Question

I'm attempting to purchase a HUD foreclosure (as an OO) and it's got a nice sized a pool in the back. It's been winterized and covered with treated lumber, plastic (think garbage bags) and metal fencing sections. I would really like to get a pool guy out to look at the vinyl liner, but HUD's people at Prescient are stating they won't remove the cover.

Has anyone run into this predicament? I'm doing a 203k loan and supposedly all they need is something on a pool contractor's letterhead saying everything's in operational condition, or I guess a repair quote.

I talked to the guy who installed the pool and he said the liner's 2 years old but has been pretty neglected. He said he could get it replaced for $2500 tops, but that it probably doesn't need replacing.

Mark Ferguson · Answer

@David Krulac  that is my experience as well. If they let the buyers remove the pool cover then they have to rebuild it to make sure it is safe before closing.

@Ronnie  Boyd the key is that the buyers already asked HUD if they could remove it and HUD said no.

Ronnie Boyd · Answer

good information in this thread, have a good weekend all!!

thanks RB

David Krulac · Answer

@Mark  Ferguson

I went to a HUD conducted conference many years ago and at that time they said that 40% of the contracts that they receive for HUD foreclosures fall through.  I'm sure that, whether that number is still true or not, they still have a high number of fall throughs and don't wan to have the cover removed and then have a fall through.

David Krulac · Answer

@Jay Hinrichs

We got an abandoned foreclosed house, probably vacant for 2 years or so.  The swimming pool liner leaked so the majority of the water drained out.  However there was water that remained/collected in the bottom of the pool, providing habitat for frogs, snakes and cat of nine tails.

Karen Margrave · Answer

@Jay Hinrichs Yes! At our house in Redding. It's on 20 acres and has a seasonal pond. The darn little frogs are so loud and noisy. In addition, there's so many of them that you can't mow the lawn when they're there. BIGGER frogs are the answer. However; they aren't really around that long because our pond dries out. I often wondered where the little things went to once the water was gone.

Jay Hinrichs · Answer

@David Krulac

just went over to a new construction I am building and we did not get the pool demo ed in time so water congregated and now we have Freakin Frogs.. Any one ever deal with an invasion of frogs and the noise pollution they create?

David Krulac · Answer

@Ronnie  Boyd

We looked at a HUD or VA, I forget which that had the same sort of pool cover made out of 2x4, 2x8 Fencing, and plastic.  The Feds don't want any cover removed then some body fall into the pool like kids from the neighborhood.  Its a safety issue.  Other inspections are permitted but if the houses are winterized you have to re-winterize after doing the inspection, (as an owner occupant) even if you back out of deal.  So you have to pay for the inspection, pay for the de-winterization, pay for the utilities to be turned on, pay for the utilities to be turned off and the house Re-winterized.

I've only been buying HUDs since 1986 but I have never seen them allow a pool cover removal of a structure built over the pool by HUD.

Ronnie Boyd · Answer

I have been involved in well over 20 HUD deals as an investor. From my personal experience only, I have never had an issue with these types of request.

As long as the listing agent notifies the asset manager (HomeTelos,Pemco) mostly in my area.

No reasonable request from me has ever been rejected from them.

Mark Ferguson · Answer

@David Krulac is right @Ronnie  Boyd    If the buyer takes off te cover without huds permission it is considered vandalizing federal property.  Doubtful HUD would prosecute, but there is a great chance they would cancel the contract and take the earnest money.

Andy Collins · Answer

its according to how the cover is put together, but I've literally pulled up one side and looked underneath.  You want to be sure the pool isn't 'floating',,,that it hasn't been sitting without water and pushed out of the ground, normally in the deepest end,,if that happens figure to have it taken out,,it's probable fine, but just make sure you don't see one end pushing up out of the ground

HUD Foreclosure -- Pool Cover Removal?

Most Popular Reply