One of the best ways to find cheap property to buy is to check out the HUD (Dept of Housing and Urban Development).

Millions of people have bought HUD homes and the website is updated daily with new properties. These properties are specifically aimed at those on a low to average income as well as first time buyers. If you are eligible for a mortgage, or have the cash to buy outright, you are able to purchase HUD homes.

Their properties are available usually because the original lender has foreclosed on the loan. Assuming that the property was insured with a HUD mortgage, the HUD will buy the property from the lender and then sell it on at auction. This then means that the lender gets the market value for the property and buyers may be able to get property much cheaper than they would get it through traditional means.

These properties are sold on an 'as seen, as is' basis and no warranty is offered with them. During the auction, potential buyers summit their bids and at the end of the 'Offer Period' all bids are checked and the property goes to the highest bidder. If the property doesn't sell during this time, an offer may be placed on the property on any working day. If the HUD considers that your bid is acceptable, they will usually inform you within two working days.

Buyers must have their bids submitted by a real estate agent so if you see a property that you like, you should engage an agent as soon as possible. If yours is the winning bid, your agent will then assist you with the paperwork which should be completed by the 'settlement date' you'll be given. This is generally around one to two months after the auction ends. The HUD usually pay both the selling agent's fees or commission as well as all sales commissions up to 6%. This can save sellers and buyers a lot of money.

There are thousands of homes for sale on the HUD website but some are offered with special provisos that afford some groups priority consideration. For example, single families or owner-occupants. There are properties for sale in most states so check the website for your local properties.