Their research department says as long as the mailing address stays the same for 1 year they don't care (which I found interesting).
So, I am not getting straight answer from anyone...So much for all these experts.
This brings me to another question that I have been wanting to ask - Who exactly will cause problems for me if I bought a home somewhere else as the primary home while my wife would stay in our current home. Is it the current bank or will be Fannie Mae or will be the new lender? Not sure.
And when will I know they have a problem?
At least one borrower must occupy the property and sign the Note and security instrument for the property to be considered owner-occupied "
As per this am I not ok as long my wife ( one of the borrowers)occupies the property for 1 year
If all they cared about was their payment then why did they have you sign saying you would live there for at least 12 months. Like Shane stated. You need to speak with your mortgage person to find out exactly. They may excuse it.
Am I missing something?
Do your documents say that "borrowers" or just "a borrower" needs to live in the home for 12 months? I am not sure what type of loan you refinanced into, but for example FHA loans just require that "a" borrower (not all borrowers) must occupy the property within 60 days of signing documents & continued occupancy for 1 year. If your document had similar verbiage, and you are both on the loan, then it could be possible she can remain in the property and not violate that clause. If you were the only one on the mortgage, and she is just on title, then you may have a legal challenge if you move out of the home prior to 12 months even in the situation of divorce, since you are the only person on the loan. I have also seen owner occupancy affidavits refer to "all borrowers", so if it says "[all] borrowers" are to remain in the home for 12 months, then I would be looking to get permission from my mortgage lender.
Shane Milne | Lending in all 50 states | NMLS #81195