Purchasing a HUD apartment complex

[Eric Bilderback]

There is a HUD apartment for sale that has great numbers. The reason the numbers are so great is because the HUD program is only in contract to pay 60% or so of tenets rent for another year or so. That means the bank doesn't want anything to do with it.

1. If I buy this with cash somehow can I then refi the property with bank financing?  I will ask the banker but this  is in a remote place I was hoping you guys might have some insight.

2. From what I understand it is somewhat automatic 95% say that the HUD will re-up the contract. Has this been your experience or is this overly optimistic?