HUD PEMCO : Special HUD Programs

HUD TO GIVE “SPECIAL ATTENTION” ON OFFERS SUBMITTED

HUD will consider all offers submitted for properties that have been on the market over 120 days. Bids for these properties should be submitted through normal channels and there are no additional requirements. The morning after the bid deadline, these Offers will be handled with “special attention”. This is effective immediately and will continue until further notice.

(NEW!) $1,000 Sales Allowance paid to Owner-Occupant buyers who go under contract on a HUD property within its first 30 days on market.

Only available to owner-occupant buyers; investor buyers not eligible

Buyer financing type is irrelevant

- Eligible properties are new listings which have a list date of June 4, 2008 or later

Please note this incentive is available for new listings only; properties which were/are on market and re-list after June 4 are not eligible for the incentive

- Contract must be received and executed within 30 days of property’s initial list date

PEMCO has a dedicated staff member who will be processing all
eligible contracts on a priority basis, however agents are encouraged to allow for processing time when submitting contracts which are
eligible for the incentive

- $1,000 Sales Allowance will show as a credit on the HUD 1

- Do not alter the purchase price on the property to reflect the allowance

- Agent do not need to mark anything on sales contract to receive the buyer allowance; allowance is automatically handled by PEMCO Admin for all eligible contracts

HUD-Approved Home Buyer Education Seminar Sponsored by HUD-PEMCO, Ltd. Teamed with Ms. Felicia Payne, HUD-approved Buyers’ Counselor

HUD-Approved Homebuyer Education Seminar
Sponsored by HUD-PEMCO, Ltd.
Teamed with Ms. Felicia Payne, HUD-approved Buyers’ Counselor.

Attendees receive Home Buyer Education Certificates.
Saturday, March 15 10:00 am to 4:30 pm
Free Event. Lunch is provided.
South Terraces Building-Keller Williams Realty Training Room
115 Perimeter Center Place Suite 100
Reservations required. Please call 678-298-1617.

There is an update to the sales incentives that are available to buyers and brokers in the state of Georgia. Effective with the bids and contracts that were awarded on February 12, 2008, selling brokers representing owner occupant buyers are entitled to a $500 broker bonus; regardless of the type of financing that the buyers are using. (Prior to this update, the $500 selling broker bonus was being awarded only to brokers who represented buyers that used FHA203(k) financing. This is no longer a requirement.)

The $100 down payment option for owner occupant buyer purchasing a HUD home with FHA financing is unchanged and still in effect.

GOOD NEIGHBOR NEXT DOOR SALES PROGRAM
• Officer/Teacher Next Door
• Emergency Medical Technician Next Door
• Special Program for Nonprofits
• Dollar Home Government Sales Program

SPECIAL PROGRAM - HURRICANE DISASTER EVACUEES
Hurricane Disaster Evacuees from Katrina, Rita and Wilma hurricanes can purchase HUD Homes at a discount in accordance with HUD's regulations. The Buyer must utilize the services of a HUD-registered real estate broker. Links to program information. HUD links:
Press Release - HUD to Sell Homes at a Discount, and FAQs Hurricane Discount Home Sales Program

SPECIAL PROGRAM - GOOD NEIGHBOR NEXT DOOR SALES PROGRAM
GNND is a special home buying program available to Officers, Teachers, Firefighters, Emergency Medical Technicians, Non-Profit Agencies, and Local Governments. The GNND program was designed to make American Communities stronger. More information on this program can be found at http://www.hud.gov/offices/hsg/sfh/reo/goodn/gnndabot.cfm

What is Officer/Teacher Next Door?
One of HUD's Special Sales Program under the Good Neighbor Initiatives is the Officer Next Door/Teacher Next Door (OND/TND) program. The OND/TND Programs offers HUD-owned, single family homes that are located in HUD designated Revitalization Areas will be made available to Law Enforcement Officers and Teachers at a 50 percent discount of the last listed price. When a law enforcement officer or teacher chooses to use an FHA-insured mortgage the down payment is $100. When a governmental agency of nonprofit organization is the purchaser, HUD expects that the full discount will be passed on to the law enforcement officer or teacher. Officer Next Door/Teacher Next-Door program participants are required to own and use their property as their sole residence for at least three (3) years. Participants agree to execute a second mortgage and note which will be for the amount of the discount which HUD can call at a later date if the buyer fails to re-certify. During the entire term (3 years), the buyer may NOT own ANY residential real property other than the OND/TND home. Failure to comply with this (or any OND/TND) requirement may result in the remaining balance of the second mortgage becoming immediately due and payable. The officer or teacher must submit a contract bid of 100 percent of the listing price. Winning bidder will be chosen by lottery. The 50 percent discount will be applied at closing. Teachers must be employed in the school district that they purchase a home in under the Teacher Next Door Program. More information on this program can be found at http://www.hud.gov/offices/hsg/sfh/reo/goodn/main.cfm

What is Firefighter - Emergency Medical Technician Next Door?
Effective November 1, 2005, HUD announced the eligibility of firefighters and emergency medical technicians to purchase HUD acquired homes located in HUD designated revitalization areas at a discount, in accordance with HUDÕs regulations for the Officer/Teacher Next Door (OND/TND) Sales Program. Inclusion in the OND/TND program is designed to help more firefighters and emergency responders become homeowners, and will further the goals of the OND/TND Sales Program to accelerate the revitalization of AmericaÕs cities by promoting the integration of dedicated role models and mentors into the community. More information can be found at http://www.hudpemco.com/choose_specials.htm

Does HUD have any special programs for Non-profit organizations?
Yes, FHA offers community & faith-based non-profit organizations the opportunity to purchase HudHomes, at discounts up to 30 percent, under the Direct Sales Program. With this discount, local non-profit organizations invest in their communities through property rehabilitation & resell to first-time homebuyers and low-moderate-income families. FHA also offers non-profit agencies favorable FHA insured mortgage financing terms & opportunities for downpayment assistance programs. For more information please visit: http://www.hud.gov/offices/hsg/sfh/np/np_prog.cfm

Important Information for Nonprofit Agencies (starting August 15, 2007)

• FOR NEW APPLICANTS - HUD is in the process of transitioning to an on-line application system for Nonprofits applying/re-certifying for approval to participate in FHA activities. Starting August 15, 2007 all new Nonprofits that want to obtain HUD approval to participate as a FHA mortgagor, purchase HUD Homes at a discount, or administer a Secondary Financing/ Down Payment Assistance Program must submit an e-mail directly to their local Homeownership Center (HOC), Program Support Division, indicating that your organization would like to apply for approval to participate in FHA Nonprofit activities.

• FOR RE-CERTIFYING APPLICANTS - Nonprofits that need to re-certify, must submit an e-mail to the local HOC stating that your organization would like to apply for re-certification and request a password and user id. After your e-mail is received, HUD staff will send your organization an e-mail with instructions for accessing the on-line application system and a password and user ID.

Does HUD have any special programs for Government Agencies?
Yes, the Dollar Homes initiative helps local governments to foster housing opportunities for low to moderate income families and address specific community needs by offering them the opportunity to purchase qualified HUD-owned homes for $1 each. Dollar Homes are single-family homes that are acquired by the Federal Housing Administration (which is part of HUD) as a result of foreclosure actions. Single-family properties are made available through the program whenever FHA is unable to sell the homes for six months. By selling vacant homes for $1 after six months on the market, HUD makes it possible for communities to fix up the homes and put them to good use at a considerable savings. The newly occupied homes can then act as catalysts for neighborhood revitalization, attracting new residents and businesses to an area. Local governments can partner with local nonprofit homeownership organizations or tap into existing local programs to resell the homes to low- and moderate-income residents of the community. For more information please visit: http://www.hud.gov/offices/hsg/sfh/reo/goodn/dhmabout.cfm

HUD Links:
Housing Notice 99-30 - Disposition of HUD-Acquired Single Family Property; Good Neighbor Next Door Sales Program; Final Rule
Q&A: Good Neighbor Next Door Sales
GNND Sales Program
About Good Neighbor Next Door
HUD Revitalization Areas

GNND Forms and Fact Sheets:
Officer/Teacher/Firefighter/Emergency Medical Technician Certification Form
Agreement to Execute Second Mortgage Note Form
Local Government Addendum (Dollar Home) Form
Officer Fact Sheet
Teacher Fact Sheet
Firefighter/EM Technician Fact Sheet