Hud Owner occupy running past deadline to move in

4 Replies

I bought a hud home for cash to resolve an hour commute I currently have for work.   I am about done with my 2 months window to move in.  I came across some problems with getting contractors in etc. that has put me behind my Reno schedule by 2 weeks.  I have been working on this house every evening and Saturday, but I don’t want to move my stuff till the grossness  left behind from the previous occupant is all gone!  I will be living there for the full year and then decide what I will do next, sell, stay rent it out.  Is there any problem if I am 2 weeks late moving in?  Or   should I put put on my big girl pants and live in a semi scurvy  house.   I could also put a bed and couch in it before my deadline ?  Out side of sleeping at my current house I spend more time at the hud house. 

Originally posted by @Ann Benker :

I bought a hud home for cash to resolve an hour commute I currently have for work.   I am about done with my 2 months window to move in.  I came across some problems with getting contractors in etc. that has put me behind my Reno schedule by 2 weeks.  I have been working on this house every evening and Saturday, but I don’t want to move my stuff till the grossness  left behind from the previous occupant is all gone!  I will be living there for the full year and then decide what I will do next, sell, stay rent it out.  Is there any problem if I am 2 weeks late moving in?  Or   should I put put on my big girl pants and live in a semi scurvy  house.   I could also put a bed and couch in it before my deadline ?  Out side of sleeping at my current house I spend more time at the hud house. 

 Once you get your loan and the Deed or Mortgage has been recorded, the only enforcement tool for a lender is foreclosure by way of a borrower default. In your case, as long as you're making your mortgage payments on time, the chances of anything bad happening are extremely low. You can wait your two weeks until the place is ready. Remember, banks are very slow. Even if they were checking, it would take a while for them to react and respond. By then, you would have already moved in.

Originally posted by @Ann Benker :

I bought a hud home for cash to resolve an hour commute I currently have for work.   I am about done with my 2 months window to move in.  I came across some problems with getting contractors in etc. that has put me behind my Reno schedule by 2 weeks.  I have been working on this house every evening and Saturday, but I don’t want to move my stuff till the grossness  left behind from the previous occupant is all gone!  I will be living there for the full year and then decide what I will do next, sell, stay rent it out.  Is there any problem if I am 2 weeks late moving in?  Or   should I put put on my big girl pants and live in a semi scurvy  house.   I could also put a bed and couch in it before my deadline ?  Out side of sleeping at my current house I spend more time at the hud house. 

 Your lender doesn't have little spies checking on you, and even if they did this is arguably a pretty good extenuating circumstance since you've clearly been putting in your best good faith efforts.

If you want to be conservative, start setting up your bank statements, paystubs, etc, to go there, in order to establish a paper trail that a future mortgage underwriter will not question. I'd not want you to be my guy with zero paperwork going to his primary residence (not even the homeowner's insurance).... underwriter didn't like that one!

Good advice above, Chris and Andy!  I definitely agree with the paper trail idea - your occupancy will be proven by things like bills being sent there (God forbid it really came to something serious), rather than if your toothbrush was used that morning in the bathroom, you know?  I personally think if you wait two weeks you'll be fine, especially if there are unlivable conditions.  

And yes, there are no little elves checking on owner occupants every day - we live in our HUD home, and never once received a follow up once we completed our 203k. :) congrats on the purchase!