Posted by steve b. on March 07, 2002 at 14:23:00:
yes it will.in the act of doing so you will be committimg fraud.
FHA Loans - Posted by Tracy
Posted by Tracy on March 07, 2002 at 13:11:13:
I’m currently mortgage free (after a divorce), and want to take advantage of my current no debt situation. I’ve been looking into buying a couple small rental single family homes, and a buddy suggested I use nothing but the 203b loan. I understand the owner-occuppied rule, but have been told this is not a problem if I get the places rented a month or so after I buy them. I would like to go out and do this, but is this wise and will it affect my abiltiy to purchase my own home with a 203b after having a couple places rented? Is there a limit to how many outstanding 203b’s I have in my name…and will they catch on that I’m just buying and leasing these properties out after a while?
Re: FHA Loans - Posted by Kim (FL)
Posted by Kim (FL) on March 07, 2002 at 17:16:25:
To clarify Steve’s comment: an FHA loan is an OO (Owner Occupancy) loan. You will sign documents (About SIX) stating that it is your intention to occupy this home within 30 days and you will retain occupancy for at least 12 months. So - you would be lying since you know that you want to rent them out and that, Tracy, is loan fraud.
TO answer your other question, you can only have one FHA (203b) loan at a time.