What Is HUD?
When you begin to wade into the waters of real estate, several acronyms are thrown around in the industry, including HUD. Short for the U.S. Department of Housing and Urban Development, HUD is a specific federal department that deals squarely with the housing market, from rentals to homeownership. It helps everyone, either directly or indirectly, sometime in their life as they search for a home or apartment.
Core Mission Objective
The U.S. Department of Housing and Urban Development (HUD) was established in 1965 and partnered up with the Federal Housing Administration (FHA) as society was changing quickly with the advent of Civil Rights. The original mission objective was to form healthy and quality housing for all United States citizens, regardless of race, religion, sex or disability. By taking care of housing needs, communities flourish and property values soar.
How HUD Helps The Economy
HUD helps people find homes, especially if they are prospective buyers. When people own a home, instead of renting it, they care for it dutifully, including the property’s yard. With well-maintained homes and yards, local property values increase, making the area more desirable to live within. With higher property values comes more taxes due. Although this may seem like a negative point, property taxes pay for local infrastructure, including school facilities and street maintenance. Overall, the local economy grows with HUD’s help moving people into homes that suit their needs.
Fair Housing For All
Housing used to be difficult to obtain if you were a minority, especially with discrimination at an all-time high in the 1960s. HUD makes it unlawful to withhold a property from a tenant based on their race, religion, sex or disability. If an applicant for a home loan has a good credit history and a down payment, they are welcome to place an offer on a property and own it outright, without any retribution from discriminating associates or neighbors. Everyone has a right to own or rent property as a U.S. citizen.
The Future
HUD continues to contribute funds to specific communities as they build new homes for growing areas. They also improve on communities struggling with infrastructure management. Tearing down dilapidated buildings to raise new homes allows current neighbors to keep their property values high and the community safe. Many homeowners would not have the property they have now unless HUD was there to chip in their expertise and financial backing.
HUD is here to help all people become prospective homebuyers. Talk to your real estate professional about your options for a new home. Your dream may be closer than you think.
