I currently have an FHA on a 4/4 duplex (South Florida) and I also recently got married. I have read that having two FHA loans at the same time is prohibited except for the following reasons:
Multiple FHA loans
If you currently have an FHA loan and want another loan at the same time, the second mortgage can only be granted under certain conditions. Aside from these conditions, all FHA loans must be used for principal residencies only, whether it is your first FHA loan or second FHA loan.
One way you can be granted a second FHA loan is through relocation. If the distance you are relocating is far enough away from your first residency, you are eligible for another mortgage. You are also eligible for a second FHA loan if your family size increases. Additionally, if you are leaving a home that is co-owned you may qualify for a second FHA loan. This is typically used in divorces where one of the spouses moves out and buys a new home. The last instance where you can have two FHA loans simultaneously is if you co-borrow with a family member for a loan, but you also have your own primary residence property.
So, my question is: If I have a baby, can I qualify for another FHA loan while keeping the first FHA loan? If so, what are the restrictions of the new property. Can it be a multifamily? What's the max units I can have? Do the bedrooms per unit need to increase due to the 'larger family' clause? Any information on this would be greatly appreciated.
"Another reason HUD might allow a second FHA loan is if the borrower's family size has significantly increased since closing on the first FHA loan. The borrower must be able to show that his existing home is not big enough to accommodate the new family."