I was shocked to say the least and a little upset at myself for not offering less!!!!!!! 

I am already doing preliminary work of driving around checking out neighborhoods, searching online listings, etc.  

Because I am new to it I am looking for input on what (very rough) numbers would work for you as well as best strategy to place that offer.I would go through with a contractor/inspector as well as re-crunch my numbers when I get more details..this is all preliminary to know how hard to pursue it.THANKS!

HSBC wants a sales contract and a preliminary HUD1 or Settlement Statement too.

SHOCKING!

a place to start with site tour would be good. might be an idea to emphasize please read the rules as they are different from many other sites and the internet is changing. it is a shock to most creative types, the rules sites come with these days (no kidding), esp for those who have been on the net since the beginning and seen drastic swings and changes in regards to rules and etiquette. one minute everyone is stealing mp3s and not paying artists, and now you can't post anywhere twice or you get deleted (many sites now). very difficult to navigate.

My offer was accepted on a HUD house, and (as an investor), I made my $500 non-refundable deposit.I've now been notified that if I want utilities on I have to pay a $130 dewinterization fee and buy a general liability policy for the period the utilities are turned back on (in case someone got shocked by electricity, house flooded, etc.).

A little shocked at what the bank is quoting.

The market in Seattle, based on my preliminary research, is much more affordable than SD.

Most state have passed distressed property laws in the past 3-5 years, and I would be shocked if California has not.