What are the property usage requirements when a government entity purchases a HUD Home?

Governmental Entities must comply with the restrictions on resale as stated in an executed Land Use Restriction Addendum (LURA) or Exclusive Listing Period Purchase Addendum.
 
To request exceptions to the restrictions on resale, the Governmental Entity may submit a request in writing to the Director of the Homeownership Center (HOC) for the area in which the Property is located. 

For additional information please contact the Asset Manager with jurisdiction over the property.  To locate contact information for the Asset Manager please visit the HUD Homestore website at https://www.hudhomestore.com and click “Help” in the gray tool bar. 

For policy information see Handbook 4000.1 Sections I.B.4.c.iii.(E); IV.B.2.d.iv.(B)(1)(a); IV.B.2.d.iv.(E); & IV.B.2.f.viii.(E)(1) at https://www.hud.gov/program_offices/administration/hudclips/handbooks/hsgh

All policy information contained in this knowledge base article is based upon the referenced HUD policy document. Any lending or insuring decisions should adhere to the specific information contained in that underlying policy document.


Topic Number: KA-01088