Nevada HUD problems...
A friend of mine recently placed a bid on a HUD property in Southern Nevada. The bid was accepted and he opened a 45 day escrow. With 2 days left, he received a call from his agent, telling him that he had been outbid on the house (that day). How is this possible? Do HUD sales go down like normal bank foreclosures (court room bidding near the end)? If so, why was he not notified about the auction? He was told by his agent that he was outbid by only $500 by one of the brokers at his agents office...
He already had his house packed up and ready to move. He had given his 30 day notice at his rental... luckily his landlord was understanding and let him stay.
Can my friend do anything about this? Does he have any legal course to pursue?
Thanks!
-Shaun
I THOUGHT ONCE YOU WON A BID YOU WON
I thought that preferrence goes to home-owners before investors. That was a very unfortunate situation. You might can find some answers on the hud website, or call and ask another realtor that deals with hud properties. Good Luck!
The house was listed as having a owner-occupant preference...
He was told that once his bid was accepted it was his...
so HOW did someone outbid him 4 days before close?
-Shaun
i have bought a few hud homes if you email me your phone i can give you some insight . soldbymike@hotmail.com
shaunco,
Glad to meet you.
First your friend needs to draft a letter and send it to the Nevada Board of Realtors, with a CC: to the U.S. Attorney General located in the State of Nevada, since the government is envolved with HUD properties.
In the letter state exactly what transpired, no opinions just the facts. This should get the ball rolling.
Your real estate agent and the broker had a fudiciary responsiblity to see you were taken care of as their client.
Welcome on board this board, get rolling on this one time is very important.
John $Cash$ Locke
Thanks JohnLocke! I will have him do this first thing Monday morning.
Since you are in Nevada, would you be able to give a local real estate lawyer referral? He is looking for someone to help him with his situation.
Also, do HUD sales have another bidding period after the initial accepted offer? If not, how was he outbid?
-Shaun
shaunco,
If you private e-mail me here on TCI your phone number I will contact you with the requested information.
John $Cash$ Locke