HUD Homestore Review

Thursday, March 27th

2025 Foreclosure Listing Service Reviews

HUD Homestore

• Official website for the US Dept. of Housing and Urban Development (HUD)
• First-time buyers must use a HUD-registered selling broker to submit a bid
• No cost to use the website
• Properties available in most states, Puerto Rico, and USVI
• Extra benefits for teachers, LEOs, firefighters, and emergency medical technicians through Good Neighbor Next Door program

If you're tired of getting the runaround with foreclosure listing sites who make you think they're endorsed by the US Department of Housing and Urban Development (HUD) and you want to go right to the source, look no further than HUD Homestore. This website is the real deal, connecting you with foreclosed properties specifically listed by HUD.

You may need an approved broker

There are some pluses and minuses to working directly with HUD. First, let's look at some of the potential downsides. As a first-time buyer, you can't bid on a HUD Homestore listing without a HUD-registered selling broker. Fortunately, it's easy to find a broker near you through the button right on the HUD Homestore site: in just one target zip code, there were over 30 to choose from. You can also create an account as a public user and then save any properties that interest you, so that you can share them later with the broker you've selected.

Foreclosures in your area may be limited

That ample supply of approved brokers doesn't correspond to an equally broad inventory of homes, unfortunately. Across all of the foreclosure listing platforms we evaluated, we looked for options in Nashville and Phoenix. While there were 17 properties in Tennessee on HUD Homestore, none of them were in the Nashville metro area. We also didn't see any foreclosures in Phoenix itself, but of the 12 Arizona listings at the time of our review, there were a handful in Maricopa County. Whether or not HUD Homestore is a good source for foreclosure listings will depend greatly on where you're trying to buy a house: if that's Florida, you're more in luck (with 79 properties) than if you're trying to invest or live in Washington State (1 property). Then again, if the island life appeals to you, don't forget to check out the HUD Homestore listings in Puerto Rico and the USVI.

You'll get a head start if you're going to live there

Whether this next point is a positive or a negative will depend on if you're looking to bid on a home as a homeowner or an investor. As you browse the listings on HUD Homestore, you'll see designations of "Exclusive” and "Extended” by the Listing Period. During the "Exclusive” timeframe, the only allowed bids are ones made by owners who intend to occupy the property, non-profit organizations, and governmental agencies. We can appreciate HUD trying to allow these foreclosures to benefit the community before becoming an investor's rental property.

Giving back to those who support our communities

And, here's one big way that HUD tries to benefit the community: if you're a law enforcement officer, teacher (Pre-K through 12th), firefighter, or emergency medical technician, you'll want to be aware of HUD Homestore's Good Neighbor Next Door program. If you're able to commit to living in the property for three years as your primary residence, HUD will give you a 50% discount off the list price of the home. That is a huge savings that shouldn't be overlooked. Of course, there are some particulars to be aware of. First off, such properties are only listed for seven days. These properties are in areas selected by HUD as targets for "revitalization”. Your home purchase will require you to sign a second mortgage and note for the discounted amount - but no payments or interest will be required as long as you stay in the property for at least three years.

A little limited but definitely trustworthy

You've definitely got nothing to lose by checking out the foreclosure listings on HUD Homestore, and if you're a home buyer trying to get a fantastic deal on a house you plan on living in, you'll have some advantages here. However, the limitations are obvious as well: there aren't any bank-owned properties or pre-foreclosure homes to consider, some states have absolutely no homes listed, and you'll have to take the extra step of working with a HUD-approved broker to even place a bid. HUD Homestore has some advantages that make it an above-average source of foreclosure listings, but it's still a little too narrow to earn our highest recommendation.