HUD Home Information Center
What is a HUD home?
A HUD Home is a residential one-to-four unit single family residence acquired as result of foreclosure on an FHA mortgage.
- You will get clear title to the home.
- Homes are sold As-Is.
- Offered for sale at fair market price based on a recent appraisal.
Who is the local listing broker?
New Century Real Estate is a Local Listing Broker (LLB) for HUD Homes in Illinois. If you are interested in learning more, please contact our office at 847-543-8300. Tom Yingling has been working with HUD properties for over 10 years. He has sold 1,000's of HUD Homes in his career.
Who is HUD's closing attorney?
There are three HUD closing agents in Illinois.
Lakeside Title & Escrow
920 South Spring St.,Suite 1700
Springfield, IL 62704
217-522-6622
kbest@lakesidetitleandescrow.com
Kokoszka & Janczur
7240 Argus Drive
Rockford, IL 61107
815-227-8811
Lakeside Title & Escrow
521 W. Main St., Suite 201-M
Belleville, IL 62220 618-233-2264
Tenancy Types - Illinois
HUD requires on Sales Contract line 2. Title will be taken in following names and “Style”. By “Style” they are referring to the type of tenancy. Here are the types you can choose from in Illinois:
- Husband & Wife
- In Serveralty
- Individual (Use For LLC)
- Joint Tenancy
- Married Couple
- Married Person
- Single Person
- Tenants in Common
HUD Property Contacts
You sold a HUD Home and need to know who the Field Service Manager (FSM) is for property. You will notice home is removed from HUDHomeStore.com website. Click on the “Property Contacts” tab and enter case number or address for subject property.
Property is Missing From HUDHomeStore.com?
If a property is missing from www. HUDHomeStore.com it is:
- 1. Under Review- Home will still show active (ACTV) in MLS, the asset manager is reviewing bids.
- 2. Price Change- The asset manager will remove the home from HudHomeStore while a new appraisal is obtained.
- 3. Under Contract- Home will show pending (PEND) in MLS.
I Won a HUD Bid, Now What?
There are three asset managers in our region Area 1A. If you won a HUD bid please find which asset manager listed the home for sale and complete their contract package.
I Placed a Bid – Did I Win?
Agents who place bids at HUDHomeStore.com can login to their account and through the “Bidder Functions” link can search the status of all bids. Watch short video on how to check bids on HUDHomeStore.com.
How To Work With K & J
Buyer’s agent will be sent executed contract from asset manager via email.
STEP 1
In the next few days K & J will fax/email to Buyers Agent the “Broker Notification of Sales Contract Receipt” (This will let Buyers Agent know that HUD’s closing agent is aware of contract execution)
Page 1 of “Broker Notification of Sales Contract”
- Buyers Name
- Case Number & Property Address
- Closing Date
- Requirements
- Extension Policy
- Payment Information regarding Money Orders , Wire Transfers Page 2 of “Broker Notification of Sales Contract” Buyers Agent or Buyers Attorney should complete document as follows:
- Fill in Purchasers Attorney Information
- Fill in Purchasers Mortgage Company
- Fill in Title Company
- Fill in Association Data (This can be found on MLS under “Full Agent Report”)
STEP 2
Buyers Agent will then be faxed or emailed a number of requests from their K & J Processor, these will be sent by K & J as they are needed. The types of requests are as follows:
STEP 3
Buyers Agent will complete said requests and fax or email items requested to their K & J Processor and Buyers Attorney.
STEP 4
Buyers Attorney will contact K & J Processor for a clear to close. This email should list all of the completed requirements that K & J requested of Buyers Agent. Buyer’s attorney should use standard email with no attachments. K & J prefers a message thread. Continue with this thread for all correspondence.
Note to K & J should read as follows:
Processor, Case# XXX-XXXXXX at 132 Skadoo Naperville, IL 60564 Buyers agent has completed (X) requirement and (Y) requirement. Buyers financing is secured. Is HUD ready to close?
K & J will take time to respond to this email. They may not respond to Buyers Attorney, they might have another request needed from Buyers Agent. MAKE SURE BUYERS AGENT AND BUYERS ATTORNEY ARE COMMUNICATING WITH EACH OTHER.
STEP 5
Processor will send fax or email when your buyer has a clear to close.
STEP 6
A few days later the K & J Scheduler will contact Buyers Attorney via email with available dates, times, and locations to close property.
STEP 7
Buyers Attorney will respond to K & J Scheduler with accepted date, time and location.
STEP 8
Buyers Attorney and Lender will prepare HUD-1 (This is due five (5) days prior to closing) This should be sent via FAX to number provided on clear to close fax/email.
STEP 9
Attend closing with funds.
How Do I Get Utilities On?
The process to get utilities turned on for a Home Inspection of Apprasial is rather simple. Here are a few steps to follow:
Step 1- You will need to locate the name of the Field Service Manager (FSM) who is managing subject property.
Find out FSM for your property.
Step 2- Get Utility Activation Form from Field Service Managers website.Step 3- Follow instructions on form. Failure to follow these instructions could cause contract to be cancelled!
FSM Contractor