How much should I offer for Hud Home and what to know?

[Edward Shen]

Hi everyone, I am planning to buy a Hud Home and wanting to flip it. I came across the idea while watching Biggerpockets videos. However, I do not know anything about purchasing a Hud home and how I should go about it. I do know that currently it is exclusive to only Owner-occupant,government, and etc. Therefore, investor are not able to bid on it. My worry is that I do not know exactly know how much I should bid on the property. I was doing some research and it seems that there is no negotiation, just that the highest bidder win. Although the bid has no time limit and you do not know how much someone else bid. My other worry is that, i am not sure if we are allowed to go see and tour the house before bidding... I will also like to know how long does it take usually for a respond back on the bid. Any advice would be appreciated, Thank you! 

[Greg H.]

@Nicole Heasley Beitenman

That is inaccurate. As I outlined above, the threshold for automatic acceptance is 88% net to HUD. A lower offer might be considered at some point, usually after 45-60 days of the market