Have you ever submitted an offer to purchase a HUD house, and then you learn that it was purchased by a governmental agency for less than you offered?
Apparently HUD has been selling REO properties to local government agencies and non-profits for less than the market price.
Those agencies participating in the Neighborhood stabilization Program will get to buy the properties at 10% below appraised price.
The new initiative will also give these buyers a 14-day first-look period to consider buying the property ahead of investors. HUD secretary Shaun Donovan announced the new initiative at the National Council of La Raza annual conference in San Antonio, Texas.
Our government has done such a good job with everything else it’s tried. What else could go wrong.
Do you think local governments should be competing with citizens in the real estate and housing business?