House-hacker forced to move before 1 year mark because of job

7 Replies

I'm listening to Brandon Turner's book "The Book in Rental Property Investing" where he mentions that a house hacker must live in the property for a minimum of 1 year in order to be able to "qualify".

What exactly does he mean by "qualify" and what happens if the investor/house-hacker moves before the 1-year mark? For me, the largest risk I foresee is job relocation.

Thanks,

Kelvin

@Kelvin Lozano I have been told by lenders that an event like that won't be a problem, but I would definitely talk with yours to be sure.  

I'd do it in email so you have a paper trail that proves you were acting in good faith if it ever became an issue.

Charlie MacPherson, Real Estate Agent in MA (#9532146)
781-412-4151

@Kelvin Lozano

That exact scenario happened to me. I was house hacking my 4 plex in Tucson that I bought with an FHA loan and 3.5% down. 10 months into it I was offered a job in Omaha, NE.

I moved and faced no negative repercussions, even though I rented out my unit immediately. In fact by moving I became eligible for a second FHA loan.

402-965-1853
Originally posted by @Kelvin Lozano :

I'm listening to Brandon Turner's book "The Book in Rental Property Investing" where he mentions that a house hacker must live in the property for a minimum of 1 year in order to be able to "qualify".

What exactly does he mean by "qualify" and what happens if the investor/house-hacker moves before the 1-year mark? For me, the largest risk I foresee is job relocation.

Thanks,

Kelvin

 If it's legitimately unforeseen, and out of control, you will be fine.

People who get jammed up are those that intentionally engineer reasons why they "can't" move in. It's typically plainly obvious that they never actually intended to owner occupy for a year. 

Chris Mason, Lender in CA (#1220177) and California (#1220177)
415-846-9211

Thanks @Chris Mason . Matches w/ other responses. It sounds like I am good so long as my intent to owner-occupy for a minimum of 1 year is clear.

I think you can legally get out of the year commitment for job relocation, or adding a member of the family... which would take at least 9 months :) 

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