It makes it possible for a person to buy a home at a 50% discount from the appraised value.
If you find a home that is priced at $500,000.00 – and if that is what the appraised value is, then you can buy that same home for $250,000.00.
Rock Star Deal right? Well, this program has some rules associated with it.
Don’t all good things? 🙂
Who can use the program?
This program offered by HUD is limited to Police Officers, Deputy Sheriffs, Highway Patrol Officers, Firefighters, Emergency Medical Technicians(EMT’s) and Teachers.
And within the employment restrictions, there are more restrictions. Officers and Law Enforcement must be full time and P.O.S.T. certified (police officers standards and training).
E.M.T.’s – must be full time and certified. Same as the Firefighters, having to be full time and certified.
Teachers must also be full time, certified and work within the proper educational venue!
Where can I get a home at a 50% discount?
If you fit any of that criteria, can you buy a home in Beverly Hills at a 50% discount?
Probably not. Because the program also only offers certain HUD homes at the 50% discount.
The homes are going to be located in “revitalization areas”. Revitalization areas are not located within Beverly Hills, Bel Air, Pacific Palisades, or in any such areas.
What qualifications do I need to have?
You can use VA, FHA, Conventional Loan or Cash, to finance one of these homes. However, HUD will require you to sign a second mortgage note(silent) for the other 1/2 of the value of the home.
If you fulfill the requirements of the program, the home is yours after 36 months, and if you had paid cash or financed the loan – the “second mortgage note” is fulfilled in full!
Don’t worry, we know you will have more questions – contact me for more info!
There is a lot more to explain about this program and it is best to do it in person at our offices.
Let me know when a good time for you is and I promise to take great care of you!
Other Rules – requirements and other GNND stuff!
Cannot currently own a home.
You cannot have owned a home for at least one year prior to the date of your offer on a GNND home.
You have to live in the home for 36 months.
The system is operated on the lottery premise.
Properties change weekly.
7 Days to make offers.
You have to use a Real Estate Broker / Agent who is approved by HUD to buy one of these homes (we are that!).
No warranties on these homes – All Sold AS IS!
Deposit is 1% of the listing price!
The three year agreement is enforced via HUD and their inspectors – Be careful!