What is a HUD home?
A HUD home is a home the Federal Housing Administration took back after a foreclosure on an FHA-insured loan. HUD sells these homes through the HUD Home Store website, and bids go in through a HUD-registered broker. Programs like Good Neighbor Next Door give some teachers, police officers, firefighters and EMTs a 50% discount.
Updated November 2026. A plain-language definition, not legal advice.
How it works
HUD lists its homes on hudhomestore.gov by state. Each listing shows the price, the bid period and the buyers who can bid first.
You can't bid on your own. A HUD-registered selling broker submits the bid online for you.
Under Good Neighbor Next Door, eligible buyers get 50% off the list price if they live in the home for three years.
What to watch
HUD homes are sold as is. Read the property condition report and get your own inspection.
Check the bid deadline and who may bid in each period on the listing before you plan an offer.
Questions people ask
What is a HUD home?
A HUD home is a home the Federal Housing Administration took back after a foreclosure on an FHA-insured loan. HUD sells these homes through the HUD Home Store website, and bids go in through a HUD-registered broker. Programs like Good Neighbor Next Door give some teachers, police officers, firefighters and EMTs a 50% discount.
Do you need an agent to buy a HUD home?
Yes. HUD Home Store says bids must go through a HUD-registered selling broker, so you need an agent or broker who is registered with HUD.
Related terms
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