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HUD Home Program | $100 Down Program

HUD home program

While searching through Charlotte real estate, you have certainly come across a listing for a HUD home. What is a HUD home? Referred by many as a HUD repo or a HUD foreclosure, a HUD home is actually a REO (Real Estate Owned) owned by the Department of Housing and Urban Development (HUD). Home buyers have increasingly used FHA insured loans to finance their homes in recent years.  When a residential property financed using a FHA insured loan goes into foreclosure, FHA pays the lender the outstanding loan amount and in exchange, gets title to the residence. Once FHA become the rightful owner of that property, it transfers the title (ownership) to HUD. The home then becomes a REO. Charlotte HUD homes for sale are located in different neighborhoods throughout Charlotte NC and new HUD homes for sale are added on a regular basis. Prices of HUD homes range from $10,000 to $275,000 in the Charlotte area. Click here to view all the HUD homes for sale in the Charlotte area (including Mecklenburg, Union, Gaston, Cabarrus, Iredell and Stanly counties).

Home condition of HUD’s residential properties listed for sale

HUD inspects its REO properties before putting them up for sale to ensure that they meet the Minimum Property Standards (MPS). The MPS refers to minim standards for constructed buildings. All HUD homes are sold “as is”, which means that HUD will not pay for or repair home defects. HUD publishes home inspection reports and makes them available to prospective home buyers interested in purchasing a HUD home. In that report, HUD identifies repairs that need to be performed in order to meet the Minimum Property Standards and provides an estimate for the cost of repairs with a 10% contingency (in case the costs of repairs are 10% more than estimated).  A home buyer buying a HUD home can escrow the cost of repairs. The condition of HUD homes in the Charlotte area varies – some need repairs while  others are in move in condition. It is highly recommended that a home inspection be performed to ensure that all systems and components of a HUD home are in good working order.

Qualifying for the HUD home program

The HUD home program offers many advantages to home buyers such as its $100 down payment program, 3% closing cost seller concessions, FHA financing (most foreclosures and REOs require conventional financing with 20% down or a cash purchase), escrow for repairs and asking prices below tax values. In order to qualify for the HUD program (if you intend to finance your purchase), you will need to prequalify for financing through an approved lender. FHA requires a 580 credit score minimum (700+ with a conventional loan). However lenders add their own layers of risk and often require a credit score higher than 580 to approve a loan. HUD homes for sale above $50,000 require a $1000 earnest money deposit or $500 if the asking price is below $50,000.

$100 Down Program

HUD currently offers the $100 down program special incentive for owner-occupants (12-month occupancy minimum) in North Carolina. This incentive is only available in some states and can be rescinded at any time by HUD. To qualify for this fantastic program, a home buyer must purchase a HUD home with FHA financing (30 or 15-year fixed rate) and promise to occupy the property for at least 12 months (investors excluded). HUD can also contribute (upon request in the initial offer) up to 3%  of the sales price towards a home buyer closing costs. The $100 down program is a great program for first time home buyers who often have limited funds for a down payment and closing costs.

Viewing HUD homes and submitting an offer

In order to view a HUD home and to submit an offer, HUD requires that a HUD approved broker be involved (we are HUD approved brokers). We have access to all the HUD homes for sale in Charlotte and surrounding areas. HUD sells its REOs through online “blind” auctions (all the bids are kept sealed and are opened altogether when the auction has ended) that last 15 days with a priority for owner-occupant bids (home buyers take priority over investors). At the end of the bidding period, HUD reviews all the bids submitted and picks a winning bid (the bid yielding the highest “net” to HUD). If no bid is accepted, HUD puts back the property on the market and bids can be submitted daily, which HUD reviews beginning each morning.  Once the initial 15-day bidding period is over, home buyers and investors are not differentiated.

Bidding strategies for HUD homes

We have helped many home buyers purchase HUD homes. In the process, we have identified trends and developed bidding strategies that work and can save thousands of dollars when purchasing a HUD home. Once you have made the commitment to have us work with you, we will share those money saving strategies with you.

Qualify for the HUD home program

We help home buyers interested in the HUD home program in Mecklenburg, Union, Gaston, Cabarrus, Iredell and Stanly counties. Simply complete the form below and a real professional will contact you as soon as your inquiry is received to discuss with you the requirements to qualify. We respect your privacy. Your information will not be shared nor sold to third parties. Asterisks indicate required are fields.

Down Payment Assistance Programs & Grants


Would you like to find out if you qualify for the purchase of a home? A down payment assistance? Are you interested in having Cornerstone Realty help you to sell your home? Call us today or fill out the form below and we will contact you as soon as possible.

Mortgage Center

We have included below a few tools to help you determine your mortgage payments, closing costs and an estimator of how much you could afford based on your income. To get pre-approved for the purchase of a home, give us a call today or fill out an online inquiry from our website and we will contact you with 24 hours of your submission.


Start today with your pre-approval process. It's easy - simply provide your information below and will contact you and email you the contact information of one of Charlotte's best lenders.

About Us

This Charlotte real estate website provides search tools, information and market news for home buyers and sellers. All the properties displayed on this website are generated automatically from the Carolina MLS and are updated daily.

The down payment assistance programs discussed in this website are based on a 30-year fixed loan. Interest rate is the current market rate.

If you have questions, please contact us today. Your inquiry will be answered by a Realtor® licensed to practice real estate.

Contact Information

Office: (704) 837-4672
Email: info@nc-homeownership.com
Address: 317 Matthews Mint Hill Road, Suite 201 Matthews, NC 28105

Mon-Fri: 9am to 6pm EST
Sat & Sun: By appointment only

Charlotte Real Estate website – We provide Real Estate services to home buyers and home sellers in Mecklenburg, Union, Gaston, Cabarrus and Stanly Counties.

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