What is the Dollar Homes – Government Sales Program for HUD Real Estate Owned (REO) properties?

Governmental Entities may purchase certain HUD Real Estate Owned (REO) Properties for $1 each, plus closing costs.
 
After 180 days on the market, certain unsold HUD REO Properties are offered exclusively to local governmental entities for $1 for 10 Days.  A Governmental Entity may submit a bid directly without the service of a Selling Broker.  If no $1 bids are accepted, the property is returned to the Extended Listing Period.
 
Local governmental entities may purchase for $1 each, plus closing costs, certain HUD REO Properties meeting the following criteria:
  • the Property is not under a contract for sale;
  • the Property has been offered to the public and marketed for sale for at least 180 Days;
  • the Property is within the jurisdiction of the local governmental entity;
  • the Property is uninsured; and
  • the current as-is Market Value of the Property is $25,000 or less.
 
Local Governmental Entities may partner with local nonprofits to purchase Properties under the Dollar Homes – Government Sales Program for local housing and community development initiatives.

To search for HUD REO Properties currently available under the Dollar Homes- Government Sales program visit http://www.hudhomestore.com/Home/DollarHomes.aspx
 
For policy information see Handbook 4000.1 IV.B.2.f.viii. 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-04336