HUD vs Foreclosure
Posted in Latest Updates on September 09, 2011 by Shelli Wappes
What is the difference between a HUD home and a foreclosure? Both homes are foreclosure homes but the HUD defined homes were financed with an insured FHA mortgage. When a borrower defaults on an FHA mortgage the federal government pays back the lender of record, and instead of the home going back to the bank, it goes back to HUD (department of housing and urban development.