HUD Articles

The dream of homeownership can seem out of reach for many, especially those with limited financial resources. However, the U.S. Department of Housing and Urban Development (HUD) offers a program that can make this dream a reality for some buyers.

What is the HUD $100 Down Payment Program?

The HUD $100 down payment program is a special initiative that allows eligible buyers to purchase HUD-owned properties for only $100 down payment1. These properties are typically foreclosed homes that have been acquired by HUD as a result of defaulted FHA-insured mortgages.

Benefits of the Program

The benefits of purchasing a $100 down HUD home include the low down payment requirement and the opportunity to own a home that may be more affordable than a traditional home purchase. Additionally, HUD homes are often sold at a discounted price, allowing buyers to potentially gain equity in their home from the moment of purchase1. However, it’s important to note that HUD homes are sold “as-is,” meaning that any repairs or improvements needed will be the responsibility of the buyer.

Eligibility Requirements

To be eligible for the HUD $100 down payment program, buyers must meet certain criteria1. These include:

Purchasing the property as their primary residence.

Using FHA financing to purchase the property.

Submitting a bid through a HUD-approved real estate broker.

Having a valid Social Security number or Employer Identification Number.

Being able to provide proof of funds for the $100 down payment.

source of article: affordablehousinghub.org (2023)