Newbie FHA loan question...

3 Replies

Hi all. I've been lurking for a little bit and I still have so much to learn. So forgive the newbie question: must I work in the same city where I intend on purchasing a home using an FHA loan? I live (for the moment) and work in NY and I am exploring the idea of purchasing an investment property out of state....perhaps Florida. Can I qualify for an FHA loan using my current NY job and use it to acquire a property in FL or someplace else for that matter?

What is the current situation with the FHA market in general?

Thanks all.

@Conway Churaman

FHA loans are for owner occupants only. So you would need to live in the unit for 1 year to qualify for the loan. How will they know? They will run Lexis Nexus searches on you to see where your car is registered, what address your utilities are on in, where your mail goes, ect. Not living in the unit is Mortgage fraud and can carry some hefty fines

FHA loans are only for primary residences. You can use it for a multi-family home, in which you eventually convert to an investment property.

But in order to qualify, it would definitely have to be your primary residence and within reasonable distance to your job in NY.

Thanks

Ed

Originally posted by @Brie Schmidt :

@Conway Churaman

FHA loans are for owner occupants only. So you would need to live in the unit for 1 year to qualify for the loan. How will they know? They will run Lexis Nexus searches on you to see where your car is registered, what address your utilities are on in, where your mail goes, ect. Not living in the unit is Mortgage fraud and can carry some hefty fines

 I lost my entire response post.  It was nicely written too.  Ah WiFi.

Second try.....

I do not think I can afford investing in RE in the New York Area.  I just don't have enough saved for a 3.5% down payment for the local market.  Which is why I am thinking of Florida or perhaps another state.  The type of purchase I would be interested in would be a 3 to 4 unit multi-family for the purpose of "house-hacking".  Analyzed properly, rental income would cover expenses and produce cash flow.

I am tired of NY anyway. You are suggesting that if I am interested in qualifying for an FHA loan, I should seek employment in the city where I intend on living. Then, at the appropriate time, apply for an FHA loan for that multi-family.

I think my first response I lost was better written but I can't remember exactly what I wrote.  The above is the gist of it. 

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