See for yourself: money.cnn.com
This means that double closings when someone has FHA financing should not be a problem!
I saw two articles on this today and was initially very excited…then the question came up: Does this new rule only apply to props that were actually foreclosed on? We, as short sale investors, purchase and sell prior to foreclosure obviously so it would not apply to us if that was the case. Does someone have more info on this as it is huge news!!
Could you post a link to the article? Please.
Before, when you are flipping a house, a buyer could not use FHA financing unless the Seller owned the house for at least 90 days. Now, if you’re doing a short sale, you should be able to flip via double close to a buyer with FHA financing & not have to worry about owning the house for at least 90 days.
Try this link;
http://money.cnn.com/2008/06/13/real_estate/property_flipping.ap/index.htm?postversion=2008061316
You might have to cut & paste.
rgchamb, I understand what you are saying completely. Please read the following:
Read #1 under the “determination” section as well as the “waiver” section. This applies to “properties aquired by mortgagees” aka that are already foreclosed on, not to pre-foreclosure props. This does not apply to short sale investors!
Please…someone slap me and tell me I am wrong because I truly hope I am!!!
Section 203.37a(b)(2) of the FHA regulations, 24 CFR 203.37a(b)(2), is hereby waived for a period of one year from today's date with regard to sales of properties acquired by mortgagees, whether sold directly by the mortgagees or by their subsidiaries or by vendors to whom they have transferred titles to properties for the purpose of effectuating sales of those properties.
gwhiz are you agreeing with me or no?