Investor · Tampa, FL · Member since 2010 · 377 posts · 56 votes
A few months ago, I knew a MB that did FHA loans within 90 days (the flip rule), but now, he tells me guidelines have changed and he can't do it anymore.
Does anyone on here know of someone who can do them? I need to move some properties quicker, but the 90 days is slowing me down.
Investor · Sarasota, FL · Member since 2008 · 17k+ posts · 17k+ votes
15y
As I posted on my blog a couple weeks ago, the 90 day rule has been extended through January 2012...so that shouldn't be an issue...
The FHA lender I use for my quick flips mostly focuses on Georgia, so they probably wouldn't be able to help you in Florida. That said, I know that *some* Wells Fargo loan originators can fund FHA loans in less than 90 day (just closed one last week where my buyer used Wells) and I've heard that Flagstar Bank can also do pre-90 funding for FHA loans (though I don't know if they are available in Florida).
Investor · Tampa, FL · Member since 2010 · 377 posts · 56 votes
15y
Thanks for replying J. Do you have a link to that blog by chance? I can't find it for some reason..
I did talk to a Wells Fargo rep and he could have done it inside the 90 days if the BUY price and SELL price was less than 20%. Was this the case for you? If not, may I please have your Wells Fargo contact persons info =)
Investor · Sarasota, FL · Member since 2008 · 17k+ posts · 17k+ votes
15y
Don't want to post a link to my blog here (moderators don't like it), but if you go to my blog, and take a look at the right-hand column "Latest Posts"...about halfway down is a post called "FHA Flip Waiver - Update"...
It has the info...
The sale I did was nowhere near 20% (much more). We purchased for $31,500 and sold for $97,000, so I know they can do it.
Another BP member has already talked to the Wells loan officer who did this deal, and unfortunately, he can't do it outside of Georgia. But, if you call around to various Wells originators, you should definitely be able to find someone who can do it, regardless of the 20% criteria.
Involved In Real Estate · Hyattsville , MD · Member since 2011 · 298 posts · 256 votes
15y
I don't know that this helps the topic but I work for a major bank in the mortgage division. Hint mostly everyone here hates them passionately. Anyway I can tell you that we have our own rules as a bank that have nothing to do with FHA and conventional rules and I think partly to cover themselves. Once a FHA loan comes into me with under 90days seasoning on loans and the value has increased more than 20% its an automatic denial or a recommend decline and then depending on how far it is away from the 91st day we will allow a brand new contract written on the 91st day and then 2 appraisals on the property.