FHA Mortgage Approval What Next?

[Joseph Sanchez]

Hello Everyone,

I need some advice. I was just preapproved for a FHA or Conventional Mortgage through BOA. The mortgage amount is 130k and up to 275k. The bank rep told me I needed to show proof funds in the amount of 11k. That figure was based upon a down payment of 3.5%and the applicable closing cost. She also said that with a FHA mortgage I could do a seller concession of up to 6% which would reduce the funds needed to get approved. My questions to everyone is what is the best way to use this mortgage in terms of a real estate investment. My stragety was to buy and flip, but due to the seasoning requirements (12 months) I must buy and hold. Does anyone have any suggestions or strategies I should be using to quickly build on working investment capital. Thanks

Joe

[Michael Lauther]

If you have been approved for the loan with your current mortgage and expenses and have the income to qualify, this would indicate that you can afford the payment for both your current home and a new home. You could consider renting out your present underwater home and buy the new one to live in for the required time.