NFP - first look at HUD props

[Gregory Childs]

Does anyone have any thoughts on the Sept 1st announcement by HUD that they will give first right of refusal to Govt & NFP (not for profit) agencies before a property goes to the general public/investor communities.

What is stopping us as investors setting up a local residential rehabilitation NFP entity - this could be a great strategy to serve the needs of blighted communities and may also allow us to partner with local gov't agencies in an ethical and productive way. Thus being great PR vehicle for RE Investors while allowing us to have first access to value added properties.

It is my understanding that there is no rule about a NFP making money - it just does not distribute profits in the same way.

Thoughts?
TTFN,
Greg