Flipper / Landlord · Tyler, TX · Member since 2016 · 255 posts · 126 votes
So I made an offer on a foreclosed HUD home. I'm giving them their asking price plus paying all closing costs. I was going to do it with an FHA LOAN.
The listing agent said they had many offers so make it your best so that's what i did. Last week, realtor says that listing agent said my offer is being reviewed and that all others were rejected. 1week went by without me getting confirmation. I called listing agent today and says my offer was rejected. That they had cash buyers supposedly. She said that I'm using an FHA loan and that it wouldnt pass because it had a whole in the roof. I knew all this and was willing to fix the issues. Should i change my contract to show ima use an FHA203K loan instead or conventional? I really wanted the home!
Rental Property Investor · Austin, TX · Member since 2016 · 1k+ posts · 1k+ votes
9y
@Maugno M. it sounds like you are working with a buyer's agent on this? Why would they even allow you to submit an FHA offer on an uninsurable property? It's stated pretty clearly in the HUD listing info that it won't work. Time for a new agent unless there is more to the story.
Rental Property Investor · Austin, TX · Member since 2016 · 1k+ posts · 1k+ votes
9y
@Maugno M. it sounds like you are working with a buyer's agent on this? Why would they even allow you to submit an FHA offer on an uninsurable property? It's stated pretty clearly in the HUD listing info that it won't work. Time for a new agent unless there is more to the story.
Broker/Flipper · Austin, TX · Member since 2013 · 4k+ posts · 4k+ votes
9y
Something isn't right here as all HUD bids are placed online and opened the next day or at the bid deadline. There is no highest and best situation and the listing agent has no idea how many bids there are. Additionally, cash or FHA does not matter unless the property is uninsured. If the property is uninsured, fha bids cannot be placed as the system will not allow
Pm me the address or give me a call and I will help you work through it
Flipper / Landlord · Tyler, TX · Member since 2016 · 255 posts · 126 votes
9y
@Ryan Murdock@Greg H. I am working with a buyers agent. I put in the request through Realtor and the agent contacted me. So that's who Is representing me. But yes i immediately put in my offer when i was approved and it took over two weeks to know anything. My realtor says that she wasn't aware my offer had been rejected till today when I called the listing agent and she told me.
Real Estate Agent · Canton, OH · Member since 2015 · 14 posts · 2 votes
9y
Usually they are looking for cash as-is offers over financing when repairs are needed, unless it is an Owner Occ. with a Rehab loan. All Fannie Mae offers are subject to manager approval so that is why your offer may have set for an extended period of time. Multi offers can be tough when deal with Fannie, they have certain procedures to follow for an agent and the rep. Also you should not submit an FHA on a home that will not qualify. Fannie is well aware of the condition and the agent makes many notes informing them it will not go FHA. You will need to submit as a rehab loan either it be a conventional or FHA. Hopefuly this helped a bit.