Windham, CT · Member since 2015 · 36 posts · 7 votes
Hi everyone:-) wondering if anyone has ever had any deals with Hubzu and if so, how it went? I've been hearing mixed things about dealing with Hubzu properties.
Been meaning to tell this story for awhile. Mostly due to all the bad reviews/opinions out there about Hubzu. I think I read all of them. Hubzu was the only way I was going to be able to buy this particular little turd of a house. The property adjoined mine, the house wasn't worth gas and a match, but it was several acres, and I wanted it. I attempted, several times, to contact the realtor in charge of selling this house. Never an answer. I was high bid every week (reserve not met). The following week, the auction would be started cheaper, and my high bid would be cheaper. Couple of times, the listing would just "end early" and be gone. I figured somebody else must have known how to buy it direct, and that it was just sold. BUT, a few weeks later the auction would start up again. FINALLY, the auction ended and my bid had met the reserve. (price was less than half of my initial winning bid). Again, I've probably read EVERY review/comment out there about Hubzu. AND, the one thing I NEVER saw, was "they stole my money". So, with that in mind, I decided to do it their way. I planned on doing exactly what was asked, in the time frame it was asked, follow their instructions to the letter, and just see for myself why everybody hates them.
Thick, hard to understand, foreign accents? I have no idea. Every e-mail I received was from a person who's name I couldn't pronounce. Never had to though. Never talked to anybody. I simply read the email and followed the instructions. If there was a question, I asked in an e-mail and was answered within 24 hrs. (Usually, had I simply waited an hour, my question would have been answered in their next e-mail anyway). BUT, when I asked, they replied. My realtor seemed more confused/concerned than I was. He found it hard to believe that I did certain things, instead of me asking him to do it. I told him, I was just following the instructions in the latest e-mail, nothing more....wasn't rocket science or anything).
I chose their closing company. Just assumed it would be easier/faster, and since I found no evidence of Hubzu being a scam, Why not? This turned out same as everything else. I get an e-mail, follow the instructions, and that's all there was to it. This was a cash deal. I won the auction on 11th. Started the process on the 12th. Finished on the 25th. Never spoke to anybody on the phone. Was never a need to.
I knew the house was crap before I bid. Best I could tell, they knew it as well, but, didn't know any specifics as to why......and just didn't care. Why would they?
I bought exactly what I expected and aside from the strung out "auction process", I had no trouble doing so.
I'm looking at a property on Hubzu right now. 4.5% is quite a bit to pay as a premium on an auction considering the level of support. But I would just lower my max bid so that the total price is not more than I'm willing to pay for the property. Glad I read these posts, I will definitely opt to use my own title company. @Steven Andrews please post the name of the lender you used who is familiar with Hubzu.
I'm in the process of buying my fourth hubzu house... the people lost it to the bank for $172K and I bought it for $35K..... yes the roof is shot, might need a new septic, but its in an A location with an estimated ARV of 125-155.
1) Do they allow inspections? I read a comment of someone mentioning inspections. I thought they wouldn't allow you to have an inspection in the property.
2) Are you responsible for any liens liens in the property?
3) Property I'm bidding looks like a cosmetic rehab. However, I noticed it's CASH only. I'm noticing that in other properties they even allow conventional financing. Makes me think there might be some issues in the property I can't see (Plumbing, electrical etc)
Hubzu is a real estate auction site. Many realtors, myself included in the past, are forced by banks to use Hubzu. Most listings have a reserve. I haven't found a deal worth doing on Hubzu. They usually bid higher then a reasonable ARV.