HUD Homes (Answers to Common Questions)
Authored By: U.S. Department of Housing and Urban Development
This web page explains how to buy a HUD Home and provides links to properties that are available near you for purchase from HUD. When someone with a mortgage insured by the Department of Housing and Urban Development (HUD) can't meet their payments, the lender forecloses on the home. HUD pays the lender what is owed and HUD takes ownership of the home. Then HUD sells it at market value as quickly as possible.