Direct Phone: 770-666-7062    Main Office (770)831-0844 ext 107
About HUD Homes

How To Buy a HUD Home

Are you looking to buy a HUD home in Atlanta and would like more information on how to buy a HUD home and the process involved?

HUD homes can be a great investment for potential home owners and real estate investors.  Often times, the properties can be purchased at a significantly reduced market value.  

As a potential HUD home buyer, remember the following:

  • You must use the services of a HUD registered real estate broker

  • You must be pre-approved for a mortgage or show evidence of adequate cash reserves to purchase the home

  • Owner-occupied bidders receive the first priority to purchase HUD homes

  • HUD offers three types of properties:  FHA insurable homes, FHA insurable homes with a repair escrow and homes hat are not insurable with an FHA loan.

  • You do not have to finance a HUD home with an FHA loan

  • HUD homes are sold "as-is"

  • Before making a bid on a HUD home, you must provide your HUD registered real estate broker with the appropriate earnest money in the form of a cashiers check or money order.  

  • If the purchase price is $50,000 or less, the amount of the earnest money required is $500.  If the purchase price is greater than $50,000, the amount is $1,000.

  • Your earnest money check should be made payable to the escrow account of your HUD registered real estate broker.


In the following pages, you will find all of the necessary information that you will need to purchase a HUD home (homes acquired by the U.S. Department of Housing and Urban Development)—ranging from the bidding process to the different types of properties. 

However, it is vital that you remember one thing while you explore the HUD home buying process—HUD requires that all bidders must be pre-approved to purchase the home. In other words, if you are looking to finance the property, you must make application and have a conditional loan commitment from a qualified lender.

To begin, select from the following: 



Chafin Realty Inc
5230 Bellewood Court Suite A • Buford, GA 30518
Direct Phone: 770-666-7062 • Main Office (770)831-0844 ext 107