View Rule

This rule revises HUD’s property disposition regulations so that they better reflect industry standards, allow HUD to conduct its Single Family Property Disposition Program more efficiently and effectively, and permit HUD to obtain the greatest value for its real estate-owned (REO) properties in different market conditions.  Changes include revising 291.100(b) to clarify that the list price for HUD REO properties may be established utilizing one or more evaluation tools, such as the Broker Price Opinion and Automated Valuation Model.  The rule also increases the amount of money buyers of HUD-acquired properties must put into escrow to purchase and repair a property that does not meet the minimum property standards from $5,000 to $10,000.  It updates the bidding process by providing that winning bids under the competitive sales procedures be made available electronically or by other means to the public through state, county or local jurisdictions.  The rule also clarifies that police officers participating in the Good Neighbor Next Door program, like teachers and firefighters, must live in the areas they serve.