HomeBridge is updating the guidelines for the HUD REO $100 Down Payment program to include information on repair costs, earnest money deposit requirements and appraisals. Additions to HomeBridge Bulletin 12-04 issued August 31, 2012 are underlined.
The REO $100 Down program allows borrowers to purchase homes currently owned by HUD with only a $100 down payment. The borrower must have been approved by HUD to participate in the $100 Down program.
An earnest money deposit is required from the borrower. HUD has established minimum and maximum earnest money deposit requirements depending on the property specifics. The minimum required is $500 to a maximum of $2000.
Only HUD REO properties located in the following states are eligible for this program:
- South Dakota
- New Mexico
- North Carolina
- North Dakota
- South Carolina
Eligible properties may be found at www.hudhomestore.com . Enter one of the states indicated above click on search. Click on the “Property Case