HUD Inspection Contingency

[Mark Stojic]

Hello BP,

I have a question regarding a HUD home my wife and I put an offer on a couple months ago. Our offer was rejected, but last week our realtor notified us that our offer was accepted as a backup offer after the initial contract flopped.

The home is located near Nashville TN. It was one of the better homes we looked at so we were kind of excited it became available again. I agreed to follow through with a contract. Our realtor printed this directly from HUD.

The contract was very unclear as to whether we were protected by an inspection contingency. The wordage was very vague and undirected. I couldn't decifer if the contigency mentioned in the contract even applied to us. I feel very foolish taking my realtors word for it.

Does anyone have some insight into HUD's policies?

Just a couple details:

We are pre-approved for a conventional loan.

We made an offer as a owner-occupant, as this will be a longer-term flip for us.

Thank you for any input. I can even post the portion of the contract I'm talking about if it helps.