First Time Home Buyers are Moving to the Front of the Line

If you’re a first time home buyer in one of the many real estate markets that are dominated by foreclosures and bank-owned properties, you’re undoubtedly frustrated with the “second class citizen” treatment you’ve been receiving when it comes to the offers you’ve been submitting.

You did all the right things: you did your homework and found the right neighborhood for you and your family, you hired a good real estate agent who specialized in that neighborhood and helped you write a competitive offer, you had a solid pre-approval letter from a lender who specialized in first time home buyer loan programs.
The result?
Your offers were passed over or ignored by the banks and their agents as they accepted other offers (often times for a lower price) from investors paying cash or conventional financing with larger down payments. You might also have lost out to offers that were made for significantly more than the listed price.
This frustration has led many of your peers, to “drop out” and put their dream of homeownership on hold. Dropping out when there is this convergence of of affordable prices and the lowest interest rates in a generation.
Well, there is light at the end of the tunnel!
The Department of Housing and Urban Development (HUD) is releasing their foreclosures, known as “HUD homes” and first time home buyers are given preferential treatment in the HUD bidding process.

“Now is a great time to buy a HUD home, interest rates are low and there are many affordable properties available.” according to Shari Potts, Broker/Owner of Inland Realty Services and a HUD local listing broker. “There are many great properties under 0,000″, she added.

First time home buyer benefits on HUD homes:

For the first 30 days of a HUD home listing only owner occupied offers will be considered
HUD provides the appraisal on all HUD homes
Buyers bidding more than the list price, will have to pay the difference in CASH
HUD will pay up to 3% of buyer’s closing costs

You can only view HUD homes accompanied by a licensed real estate agent and you must have a pre-approval letter from a lender authorized to do FHA loans.

other related posts:

First time home buyers it’s your money on the table
Is buying your first home a smart move?
5 steps to credit score suicide

It is a great time to be a first time home buyer, with record low prices, bank owned properties and zero down payment loans that do not require top self credit. The opportunities are abundant. HUD is a US federal government program designed to help first time home buyers learn how to buy a home. Some common questions asked are… Can a first time home buyer get a home loan even if they have bad credit? A first time home buyer may qualify for an FHA loan, which requires very low down payment, ( if any) and minimum credit scores. That’s why many first-time home buyers turn to HUD’s FHA for help; this loan requires only 3.5% down – and sometimes zero down payment. This program was created with the first time home buyer in mind in order to give all Americans an opportunity to become home owners. Knowledge is the key to open these doors. In order to become a first time home buyer, you need to learn where and how to begin the home buying process. We offer a FREE First Time Home Buyers Packet that easily and simply outlines the process from deciding if you are ready to buy, getting a home mortgage loan, inspecting your home before the purchase and protecting the home after your purchase. All tips and answers to get you to the proud final moment of getting the keys to your new home! There is not a greater agency then HUD in combination with FHA that will ensure all Americans can become first time home owners, but with dramatic cuts to our economy it can not be stated strongly …