A potential client bought a home about 4 months ago through FHA. They're thinking of selling it now.. My lender said they had to live for 90

Asked by Jorge D. Acuna, Top Realtor, Pico Rivera, CA Thu Jan 5, 2012

days.. Others said a few years... Please I need some real answers and my trulia family usually pulls through,,, Thanks!

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8
Christopher…, Agent, Tarrytown, NY
Sat Jan 7, 2012
Hi, The FHA has that stipulation because they want to avoid lending to an investor who is going to flip the home.

Sincerely,

Christopher Pagli
Licensed Associate Broker
Accredited Buyer Representative
William Raveis Legends Realty Group
914.406.9023
1 vote
Melina Tomson, Agent, Salem, OR
Fri Jan 6, 2012
To my knowledge there is no time frame for a home owner occupant to sell their home after they buy it. They will run into issues, potentially with an FHA buyer of their home, which was probably where the 90 day thing came into play with the lender. They can sell whenever they want. It is the buyer is FHA on the other end that creates some troubles. And yes...while FHA allows buyers to purchase flips, in theory, most lenders have created an overlay that nixes it anyway.
1 vote
, ,
Fri Jan 6, 2012
FYI... The flipping rule has nothing to do with this subject. It is entirely something different.
1 vote
Elliott R. O…, Agent, McLean, VA
Fri Jan 6, 2012
The anti-flipping rule has been waived and extended again so they are fine.

Here is a statement from HUD on the matter: http://portal.hud.gov/hudportal/HUD?src=/press/press_release…
1 vote
, ,
Fri Jan 6, 2012
What happens is that the mortgage company loses all revenue if they sell before that time. Some lenders require between 3-6 months, depending. It is fair and respectful that they wait the required time.
Web Reference:  http://tedcanto.com
1 vote
Jim McCowan, Agent, Arlington, VA
Fri Jan 6, 2012
If they've lived in it for 4 months then they're past the 90 day requirement. I've never heard of that rule, though.
1 vote
Ann Ryan, Agent, Doral, FL
Fri Jan 6, 2012
It really is a loan issue, and therefore the mortgage banker was right. See link
1 vote
Jorge D. Acu…, Agent, Pico Rivera, CA
Sat Jan 7, 2012
Thanks for the Answers.... Would he be able to purchase an FHA again? wants to rent for a year then buy again..
0 votes
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