How to Sell HUD Homes
The US Department of Housing and Urban Development oversees homes that are insured by the Federal Housing Administration. Sometimes these properties are foreclosed on by the lien holders. When this occurs, the homes are sold at fair market value. Real estate agents that sell this property must apply and receive approval from HUD to participate in sales.
- Visit HUD's website. Navigate to the Management and Marketing Contractors section of the site. Write down the address listed for you state. The two required forms are the SAMS 1111 Broker application and the SAMS 1111A Selling Broker certification. You cannot send the forms via email. They must be mailed. Download, print and fill out the appropriate forms. They are simple forms that ask for basic identification information. A social security number is required.
- Mail the forms to the address written in Step 1. Due to the inclusion of your social security number on the form, you may opt to send the forms via certified mail, which requires a signature from someone when delivered and offers a measure of protection in preventing delivery to the wrong address.
- Wait on your license from HUD. Make good use of your waiting time by studying marketing and the differences in the sale of HUD homes when compared to other real estate. Bidding on HUD homes is not the same as bidding on other foreclosed properties. There are specific rules that must be followed due to laws. The HUD website answers some questions via the FAQ section, but a responsible agent needs to educate themselves.