Assumable FHA Mortgage - Posted by Julie
Posted by Julie on July 03, 2001 at 14:00:16:
I found an owner with an assumable FHA mortgage on a 2 unit rental. He wants $14,000 down and for me to assume the mortgage. The owner does not currently occupy this property. He is moving from his current residence, and needs the FHA standing to buy his new house.
My question is… If I assume this mortgage will I be able to immediately refinance the property? I can’t hold on to a FHA mortgage if I am not occupying the property, correct? So, is it OK to just assume it, then refinance the property, since the mortgage would then be in my name? And, if I do refince it, would it have to stay FHA? Or could I refinance with different terms? My main concern is not occupying the property. I don’t want to do anything that’s not legal.
Thanks in advance!