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Company Loan Type APR Est. Pmt.

Want to refi present home and purchase another

Posted on: 27th Feb, 2011 10:35 am
Hi...

My wife and I would like to take advantage of the "present" low interest rates. However, we also want to eventually move within a year and purchase another home.

Is there an FHA stipulation that we have to stay/occupy the home for a certain amount of time?
Is it ok to refi and then rent the present property and obtain another mortgage? Or is it better to NOT refi the present mortgage, find renters first and then get a new home and refi the first mortgage later?

We really need to know the rules and timing constraints before start making any changes.

Thanks for the help!
 At least one borrower must occupy the property and sign the Note and security instrument for the property to be considered owner-occupied
 The borrower must occupy the property within 60 days after the loan closes with continued occupancy for at least one year. The only exceptions allowed are due to hardship or extenuating circumstances


could you refi AFTER you buy the new home?
fha allows you to streamline refi a former homestead that is converted to rental.
assuming the original loan is fha
Posted on: 27th Feb, 2011 12:00 pm
Thanks for the quick reply.

Guess we are out of luck as the present loan is conventional. I guess we could still rent the property and move from Stephenville back to DFW and rent there. We need to move back due to my commute time from Stephenville to DFW is just to long and then along with the oil companies gouging us too. The market here and elsewhere is just tough for selling.
Let me know if you have any other ideas.

Thanks again!
J
Posted on: 27th Feb, 2011 12:27 pm
if you intend to stay a yr.... then no problem.
this is fha guidelines to stay 1yr.

how much do you owe and what is it worth?
Posted on: 27th Feb, 2011 04:41 pm
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