Has anyone ever bid on a HUD home? Seems too cheap?

Granted it's FIFTHLY dirty but all cosmetic type stuff.... only major repairs is boiler and painting the outside of the house. They estimated 30,000 in repairs but the house still seem so cheap. I want to bid asking price- my Realtor wants us to try to get it cheaper.... I am little confused. Why is a hud home so much cheaper then all the other homes in the area? Is it just because it's dirty- I just don't see the big deal in that, although it's a lot of work- I can't believe the price.