Beginner with a Duplex

I close on a duplex that I have financed as owner occupied on 7/11. I would like to incorporate and put the house in the corporations name but do not know if I have to wait some number of days after closing before I do this or if I would have to refinance to do it properly. I have financed the home through Southtrust bank with an FHA mortgage (3% down). Any thoughts on how to proceed? I believe all I need to do is grant the deed over to the LLC once incorporated.

Also - is there a set time I must wait after closing to refinance?

To be clear - I do not plan on moving in (my situation has changed since I initially wrote purchase contract - but want to purchase anyway) but will rent both sides

If you financed saying you would be an owner occupant, and FHA gave you the mortgage based on that, then if you don’t live there, I would think it would be some kind of fraud. I hope a more knowledgeable person posts here, as my comment is just an uneducated opinion. I would sure like to see a response, but I don’t think you can ask for an owner-occupied based mortgage, and just change your mind because your situation changed.

Seek advice from a professional, as my comment is just an opinion. I only posted so you would check into this more thoroughly.

You need to notify the FHA that your “situation has changed”…otherwise, as BTK has stated, this could be a fraud situation…the investigative service will be the FBI. If you knowingly go forward with the purchase of the property without notification, it could get ugly…and, yes, they DO check!

As I have stated in this forum before, these programs are designed to help those who might not otherwise be able to afford home ownership. To knowingly deceive the program because you WANT to may take valuable funds away from those that NEED them…IMO, this is greed, pure and simple. Please take stock in your question and the answers received. I KNOW you’ll do the right thing…


thanks - I called my Mortgage co this morning (before I read your message) and told them the facts. I will now have to re-apply as investor.

Thanks for the consult!

See? I knew you’d do the “right thing”!

It’s harder and more paper work but it will pay dividends in the end…