FHA Single Family Housing Policy Handbook 4000.1, IV. CLAIMS AND DISPOSITION > B. Title II Disposition > 2. REO Property Disposition — h. Bid Acceptance During Competitive Sales Periods

hud-4000-1-iv-h-bid-acceptance-during-competitive-sales-periods

HUD effective date: 09/30/2016 · section IV.B.2 · Handbook 4000.1

FHA Single Family Housing Policy Handbook 4000.1, Part IV — h. Bid Acceptance During Competitive Sales Periods (09/30/2016).

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Verbatim provisions from FHA Single Family Housing Policy Handbook 4000.1, IV. CLAIMS AND DISPOSITION > B. Title II Disposition > 2. REO Property Disposition — h. Bid Acceptance During Competitive Sales Periods — each quote is a verified substring of the regulator-published source snapshot, not retyped. Quoted for reference; this is not legal advice. The operational layer (P&P updates, prompts) lives in the regulation update kits.

FHA Single Family Housing Policy Handbook 4000.1, Part IV — h. Bid Acceptance During Competitive Sales Periods (09/30/2016)

Effective 2016-09-30 · publisher's stamp for this provision

h. Bid Acceptance During Competitive Sales Periods (09/30/2016) i. Standard For Properties sold in competitive sales, HUD will accept the bid that produces the greatest net return to HUD and meets all the terms and conditions pertaining to HUD’s offering, with priority given to Owner-Occupant Buyers for Properties being offered with insured Mortgages. For Properties marketed as uninsurable, HUD will give priority to Governmental Entities and HUD-approved Nonprofits before Owner-Occupant Buyers. The net return is calculated by subtracting from the bid price the dollar amounts for financing and closing costs, as stated on Line 5 of form HUD-9548, Sales Contract Property Disposition Program, and real estate sales commissions to be paid by HUD. (A) Multiple Bids Selling brokers may submit an unlimited number of bids on a Property, provided that each bid is from a different buyer. If a buyer submits multiple bids on the same Property, HUD will only consider the bid producing the highest net return to HUD. If a prospective Owner-Occupant Buyer submits a bid on more than one Property, the bid that produces the greatest net return to HUD will be accepted and all other bids from that buyer will be eliminated from consideration. However, if the prospective Owner-Occupant Buyer has submitted the only acceptable bid on another Property, then that bid must be accepted and all other bids from that buyer on any other Properties will be eliminated from consideration. (B) Identical Net Offer Where two or more bids result in identical net offers, HUD will give preference to the Owner-Occupant Buyer. If the identical bids were submitted by two or more Owner-Occupant Buyers, or by two or more Investor Buyers, HUD will choose the winning bid by lottery. ii. Counteroffers If all bids received are unacceptable, HUD may, at its discretion, offer counteroffers to one or more bidders via P260, and those bidders may resubmit bids during a specified period of time. If HUD elects to counteroffer, HUD will accept the highest acceptable net bid received within the specified time period.

Source: FHA Single Family Housing Policy Handbook 4000.1, Update 18 (issued 2026-08-12) · source URL · snapshot e1bca3432cf19e09

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Source of record: https://claudeforcompliance.com/regs/hud-4000-1-iv-h-bid-acceptance-during-competitive-sales-periods/ · register hud-4000-1-iv-h-bid-acceptance-during-competitive-sales-periods · verbatim, source-snapshotted regulator text from the Claude for Compliance corpus. To work from every register at once, download the corpus and follow the methodology.