top of page

Congratulations on winning that HUD bid! Now what?

In early 2016, Sage Acquisitions became the Asset Manager for all HUD properties in Michigan. Since then, we’ve made adjustments to our information page to accommodate their system. Here are answers to the most common questions buyer’s agents have regarding their transaction:

CONTACT SAGE ACQUISITIONS. For our area (Philadelphia HOC), the customer service telephone number is 888-909-5007 and the email address is: Expect many messages from them to have a “no-reply” email address. When there are specific requests being made of you, there will be a contact name and email address.

EARNEST MONEY DEPOSIT. Your EMD needs to be in certified funds (certified check or money order) made out to the BUYER SELECTED CLOSING AGENT (BSCA) you chose in your purchase contract. The amount of the EMD is $500 if bid is less than $50,000; $1,000 if bid is $50,000 or more. When mailing or delivering the EMD, please include the property address, agent name and agent email address so we can send you a confirmation receipt.

The EMD should be mailed or hand-delivered within 2 days to the listing agent who will verify its receipt to HUD before sending it onto the BSCA. If we are the listing agent, you can mail or hand-deliver your EMD check to:

JT Henderson & Associates

6672 Riga St NE

Rockford, MI 49341

If hand-delivering the EMD, please note the service door remains unlocked from 9:00am to 9:00pm daily. Insert EMD check in lockbox/mailbox just inside door. After our office receives the EMD check, we will send you a confirmation email, confirm receipt with the Asset Manager, and forward the EMD to your closing office when requested by Sage.

CONTRACT & CORRECTIONS. Make sure the contract includes original, blue ink signatures – no digital signatures are allowed. After the Asset Manager receives and approves the original documents, they will send you a copy of the ratified contract. If any document is missing or has an error, they will send you an email notification. At that point, most corrections can be sent via email rather than mailed or sent overnight.

UTILITIES / INSPECTIONS / APPRAISALS. As soon as possible, you should talk to your lender about utilities. Many lenders/appraisers require the utilities be turned on for an appraisal. It is the buyer agent’s responsibility to turn on utilities. You can find the online form titled Utilities Activation Request here: Buyers and their agents must complete this form for Field Service Manager approval to turn on utilities prior to doing so.

CLOSING. It is the Buyer Agent’s responsibility to initiate the closing process. Once the title work, mortgage clear-to-close and closing documents are completed, the title company will send a copy of the docs to HUD for their approval. HUD requires 5 days to review and approve closing docs. Make sure to schedule the closing far enough in advance to accommodate the 5 days (and within HUD’s 45 day limit).

WALK THROUGH. You are encouraged to do a walk through inspection with your client just prior to closing.

KEYS. After closing, it is the buyer agent’s responsibility to unlock all locks on the property for their client. Please recommend to your client to purchase new locksets and be prepared to change locks immediately after closing.

Feel free to contact me with any HUD questions – even if it’s not our listing. I’ll do my best to navigate you through the transaction. Many agents struggle with the process because they handle so few of them, but overall HUD transactions have a simple, straight forward procedure. I’d encourage you to become a HUD expert.

Have a comment or question to cover in future posts? I’d love to hear from you. But beware - I reserve the right to delete offensive or off-point posts.

Visit our client portal:


59 views0 comments

Recent Posts

See All
bottom of page