Property is Being Sold Subject to HUD Guidelines/Reserve Mortgage

[Thao Kieu]

Does anyone buy a property with Reserve Mortgage, would you please share with me any insight you have, this is what I found so far. Thank you very much.

Property is Being Sold Subject to HUD Guidelines 24 CFR 206.125

This property is a Fannie Mae Reverse Mortgage REO. The code above allows an heir to purchase the property at 95% of the listed price. Other stipulations of this type of property include: Property cannot be sold below appraised value (LIST PRICE) No mediation No electronic signatures No repairs, “AS IS AT TIME OF CLOSING” No buyer closing costs paid by seller are allowed on the HUD Buyer pays HOA Doc & Transfer Fee No utilities are on. Buyer can pay to have them on for inspection No agent transaction fees allowed on the HUD, regardless if the Buyer is paying Seller will pay Seller’s closing costs and provide buyer with $29.95 PDQ Hazard Report Any realty transfer taxes due will be the sole responsibility of the purchaser Seller will bring taxes and HOA current through closing 10% deposit on cash offers (Cashier’s Check) $1,000 minimum deposit on financed offers (Cashier’s Check) 60 day MINIMUM escrow period. Could be longer if title is not clear. If we can close sooner, we will. Offers that Do Not meet these Guidelines will be REJECTED Homepath financing is not available on these properties Properties sold in “AS IS” condition at time of closing PLEASE US BUYER’S LEGAL NAMES, WHAT IT SHOWS ON DRIVERS LICENSE If LLC, will need stamped articles of incorporation pages Buyer will need to pay $100 in order for utilities to be activated for inspections, or Selling agent may turn on utilities at Buyer’s expense with permission