Investor · Colorado Springs, CO · Member since 2018 · 7 posts · 5 votes
Hi BP,
In March 2020 I purchased a single-family Primary residence with a friend for 50/50 ownership. I understand the 12-month occupancy rule most mortgage lenders require before you are allowed to repeat the "house hack" process, however I was wondering what the rules were in regards to if both of us have to stay for those 12-months.
If one of us stayed in the current Primary residence purchased in March, can the other person purchase a new Primary residence before the 12-months is up?
Banker · Nationwide · Member since 2020 · 2k+ posts · 1k+ votes
5y
Chase,
There is a lot more wiggle room than what is led to believe. FHA requires a 12 month OC but your entitled to a "Change in life circumstance". Moving out of a home that is occupied by a "friend/roommate is a perfect example for that change in primary residence. You just want to make sure your next mortgage is with a bank/lender who does not have "Overlays" and your banker/loan officer has access to their underwriters and their loan scenario desk. Always make sure your asking those questions up front and have the answers come from the UW department.