Will HUD return the earnest money deposit if a HUD Home sales transaction fails to close?
Due to the current pandemic situation affecting the United States at this time HUD is reviewing Investor sales contract cancellations on a case by case basis to determine if the EMD will be refunded. Proof that the pandemic is the cause for the cancellation will be required for consideration of a refund in the event the investor sales contract is cancelled.
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Region 4A and 8A areas include:
4A – Indiana and Kentucky
8A – Florida, Puerto Rico, and US Virgin Island
UPDATED “Introducing E-Signatures on HUD Contracts”