HUD is the federal entity that insures home mortgages made by the Federal Housing Administration (FHA). If an FHA homeowner defaults on a HUD-insured mortgage, the mortgagee forecloses and files a claim with HUD. The balance of the mortgage is then paid off by HUD, which then assumes title to the property. In an attempt to recoup the money generally lost in paying off the defaulted mortgages, HUD remarkets and resells the homes. Each of these transactions involves a closing and conveyance of title.

In February 2000, HUD selected Independence Abstract & Title Agency (IATA) as the designated agent for these closings in Atlantic, Burlington, Camden, Cape May, Cumberland, Gloucester, Mercer, Ocean, and Salem counties in New Jersey. Before earning the right to represent HUD in these transactions, IATA had to demonstrate that a high standard of quality service would be provided to all buyers of HUD homes.

Following selection, the HUD Department of IATA was formed and all of its staffers trained to handle these detail-oriented transactions, from signing of contract to closing. The real estate professionals in this department monitor the sale of a HUD home every step of the way, answering questions, facilitating contract extensions, and scheduling closings. To insure that the title passes without defect from HUD to the purchaser, IATA staffers acquire deeds of conveyance from the federal government to purchaser, and follow HUD's unique and detailed closing instructions.

If you are considering the purchase of a HUD home, contact Sandi Merryfield, HUD Department Manager at
856-779-0099, ext.113 for a FREE HUD-home consultation.