 HUD fraud (by Mike [PA]) Jun 20, 2018 8:06 PM
 HUD fraud (by Robert J [CA]) Jun 20, 2018 11:28 PM
HUD fraud (by Hoosier [IN]) Jun 21, 2018 2:34 AM
HUD fraud (by Steve [MA]) Jun 21, 2018 2:44 AM
HUD fraud (by NE [PA]) Jun 21, 2018 3:40 AM
HUD fraud (by LisaFL [FL]) Jun 21, 2018 3:57 AM
HUD fraud (by Richard [MI]) Jun 21, 2018 5:00 AM
HUD fraud (by Vee [OH]) Jun 21, 2018 5:49 AM
HUD fraud (by Chris [CT]) Jun 21, 2018 7:59 AM
HUD fraud (by AllyM [NJ]) Jun 21, 2018 10:46 AM
HUD fraud (by Laura [MD]) Jun 21, 2018 11:51 AM
HUD fraud (by NE [PA]) Jun 21, 2018 11:52 AM
HUD fraud (by Ken [NY]) Jun 21, 2018 12:14 PM
HUD fraud (by Mike [PA]) Jun 21, 2018 12:34 PM
HUD fraud (by Hammer [TN]) Jun 21, 2018 3:00 PM
HUD fraud (by Mike [PA]) Posted on: Jun 20, 2018 8:06 PM
Message:
I've just lost my 4th HUD property to investors posing as owner occupants or 1st time homebuyers under the HUD programs.
I am livid. I play by the rules but apparently others aren't.
I've reported them all to HUD but you never know what happens in these cases since they won't tell you. I'm beginning to believe nothing.
I've even told HUD I'm going to do the same.
Anyone else experienced this?
--24.115.xx.xxx |
HUD fraud (by Robert J [CA]) Posted on: Jun 20, 2018 11:28 PM
Message:
So to protect myself from people trying to steel some of my properties out in the boonies, I record a million dollar lien against the property. So if anyone wants to take it away from me, they have to pay off the lien before recording title.
Another way is to get a line of credit, and have the bank record an annual lien on the property. --47.156.xx.xx |
HUD fraud (by Hoosier [IN]) Posted on: Jun 21, 2018 2:34 AM
Message:
I have no idea what you're talking about...can you educate me on how you "lose" your property? I don't know much about HUD rentals so just trying to learn. --99.92.xxx.xxx |
HUD fraud (by Steve [MA]) Posted on: Jun 21, 2018 2:44 AM
Message:
I believe Mike means that he lost out on buying a HUD property to other bidders who posed as owner occupants and or first time buyers. This category of buyers usually gets preference over investors buyers. --72.93.xxx.xxx |
HUD fraud (by NE [PA]) Posted on: Jun 21, 2018 3:40 AM
Message:
Yes, I have experienced this and it really pi$$ed me off when it happened. I knew of the people that bought it and they weren't owner occupants, they were other investors. I called hud to report them and hud wanted all my personal info. I told them I wanted to remain anonymous and they said there was nothing they can do if I wasn't going to give them my name.
The fine is supposed to be around 250k.
I lost a lot of money by following their rules.
I know of another investor who has put them in the names of his kids. --50.32.xxx.xxx |
HUD fraud (by LisaFL [FL]) Posted on: Jun 21, 2018 3:57 AM
Message:
I've had it happen to me as well. Twice. What is more infuriating to me as a taxpayer is the time my honest offer and the higher offer was the first offer. A second one came in, a lower offer, and it was chosen over my clean, easy and higher offer because they were "owner occupieds" and as such got priority.
When I called the bank representative to inquire as to how this was fair or even possible I was told it was to help protect eh market from being ruined again by investors!
I don't know about you but every distressed property I ever purchased was due to an owner occupied. Not an investor. Banks and regulations did far more to ruin the market. --173.170.xxx.xxx |
HUD fraud (by Richard [MI]) Posted on: Jun 21, 2018 5:00 AM
Message:
This has been rampant for over 30 years. HUD will do nothing! --66.188.xx.xxx |
HUD fraud (by Vee [OH]) Posted on: Jun 21, 2018 5:49 AM
Message:
I think the timeline would go back to the mid 50's when HUD really took off, if you were paid fair price then it is a done deal, why go mowing grass you don't own. --76.188.xxx.xx |
HUD fraud (by Chris [CT]) Posted on: Jun 21, 2018 7:59 AM
Message:
Yeah it happens to me all the time as well. I'm fed up with it they always seem to get away with it. --24.45.xxx.xxx |
HUD fraud (by AllyM [NJ]) Posted on: Jun 21, 2018 10:46 AM
Message:
The inmates are running the asylum. Somebodies cousin may be sitting behind the desk at HUD. --73.178.xxx.xx |
HUD fraud (by Laura [MD]) Posted on: Jun 21, 2018 11:51 AM
Message:
Happens here all the time. --108.51.xxx.xxx |
HUD fraud (by NE [PA]) Posted on: Jun 21, 2018 11:52 AM
Message:
No Ally, it's just gross incompetence or a complete lack of caring about enforcing their own rules. The offices are usually a long distance from the area. At least in my case.
The buyer has to sign an affidavit stating they will live in the house as a primary residence for a year. Some of these places can't even be lived in, period.
So if an owner is a slow worker, it could take a year or longer to rehab.
Might be worth playIng the game. --174.201.xx.xx |
HUD fraud (by Ken [NY]) Posted on: Jun 21, 2018 12:14 PM
Message:
I used to do that 30 years ago,all the local buyers did before there was a penalty,then they came up with the $250000 fine and I never did it after that and everyone I knew doing it at the time stopped.Those kind of things tend to get enforced for a very short time after implementation and then forgotten about but I didn't want to take the risk --72.231.xxx.xxx |
HUD fraud (by Mike [PA]) Posted on: Jun 21, 2018 12:34 PM
Message:
My agent knew of one person who got caught.
It was a $500 fine. Woopdy-do, he made that 20x over on the property. --174.201.xx.xxx |
HUD fraud (by Hammer [TN]) Posted on: Jun 21, 2018 3:00 PM
Message:
Yep. Investors used to go to HUD's Inspect, then break a key off in the lock so nobody else could get in to inspect the property.
Then they would buy as O/O and flip the house at closing. Really cheezed me off and I quit looking at HUDs for a while. --137.119.xxx.xxx |
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