Denver Condos and Townhomes

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Denver HUD Homes - $100 Down Payment Programs

Many of our clients have been contacting us with questions on HUD's $100 down payment program for Denver HUD Homes. This is an amazing program that HUD has made available and can help many people who can't afford a down payment into one of the available Denver HUD Homes on the market.

In the past, low down payment programs with HUD were limited to public servants such as teachers and police officers. Recently, HUD has opened this program to allow for any owner occupant to purchase one of the available Denver HUD homes with only $100 down. There are only a few requirements to take advantage of this program:

1.) You must be an owner occupant homebuyer: HUD is not allowing investors to use this program to buy any of the available Denver HUD Homes. Only buyers who will live in the property as their primary residence will qualify for this program.

2.) You must use an FHA loan: While a requirement, this provision has some advantages. FHA loans typically allow a co-signer, so you if you need help to qualify (i.e. relatives, etc) FHA allows that. Also, HUD is allowing buyers to use FHA 203(k) loans. These loans allow you to finance not only the purchase price, but also the repair and fix up costs that typically are involved in Denver HUD Homes.

3.) All offers must be "full price": This requirement needs some explaining. If a property was originally listed for $120,000, but HUD reduced the price to $110,000 prior to you submitting an offer, "full price" would mean $110,000, not the original price. In addition, you can still ask for HUD to pay for up to 3% in closing costs from the "full price" offer. So, in our $110,000 example, you could make an offer for $110,000 and ask for HUD to pay for $3,300 of your closing costs too.


Now that you know how HUD's $100 down payment program work, what are you waiting for? This could be the easiest path to home ownership that's been available in years!

1 comment • Brian Petrelli - MBA, GRI • October 11 2010 02:57PM