Does HUD track your bidding history?

[Rick L.]

My realtor, who has tons of HUD, foreclosure, distressed property experience, has told me several times that HUD tracks your offers on various properties. They review how close/competitive your bid are to the HUD asking price. They take this in to consideration when reviewing your offer

For instance, there's a HUD property I'm interested in that is being sold for 17k . The property is in bad shape and would require a total Gut rehab for about 25k. ARV in the area is about 40-50k. I would like to put an offer in for 8k, but he claims it would count negatively against me. Is any of what he's saying true?