Posted on: 13th Apr, 2010 12:26 pm
A graduate student who will have to go abroad for about 9 months to do research wants to buy (first-time buyer) a house using FHA loan. Understand that FHA financed loans have to be owner occupied. Would there be problems if owner left for 9 months leaving friend in house but continue to make payments normally?
It is true that if you take out a FHA loan, then the property should be owner occupied. You can contact your lender about the fact that you're going abroad and that you won't be able to occupy the property. The lender may ask you to add your friend to the property deed as he would be staying in the property.
i'm of the opinion that you'd be well-enough-served to be quiet about the overseas trip. i know that goes against the grain, and it's strictly a violation of the terms of the mortgage, but your intent, it seems is to occupy this property as your primary residence. the travel, though lengthy, doesn't really indicate that your intent is changing, it seems.
if i am wrong and you really don't plan to live there upon your return, then you can pretty much forget what i've said here.
if i am wrong and you really don't plan to live there upon your return, then you can pretty much forget what i've said here.
On a FHA loan, how long does buyer have after closing to occupy property? 10, 20, 30 days, or immediatly after closing?
Hi Hana,
After the loan closing, you will be able to move into your new home immediately. I don't think you need to wait for a certain period of time to move into your new home.
Thanks
After the loan closing, you will be able to move into your new home immediately. I don't think you need to wait for a certain period of time to move into your new home.
Thanks
Hana,
If you are asking how long you are required to live in the property after purchasing with an FHA mortgage the answer is 1 year per FHA guides.
If you are asking how long you are required to live in the property after purchasing with an FHA mortgage the answer is 1 year per FHA guides.
My interpretation of the question is that Hana would like to know how SOON she must begin to reside in the premises. As a general rule of thumb, 30 days is the period by which you must begin living there. If you're not living there after a month, the lender would have the opportunity to call your loan due in full, reset it with a different set of parameters, etc.
Speak with your lender directly for their policy. Often, the policy may say 30 days, but that might just mean they'll begin to investigate at that point to ensure that you've moved in.
Speak with your lender directly for their policy. Often, the policy may say 30 days, but that might just mean they'll begin to investigate at that point to ensure that you've moved in.