Switching Primary Residence from Home Possible to FHA

[Alex Whittow]

Hi Everyone!

I'm seeking out a Home Possible loan through Freddie Mac for my first home/multi-family property! It will be my primary residence and owner-occupied. From there, the plan is to live in this home for 6 months, and then obtain an FHA loan on a second property at which time I will move in and make that home my primary residence.

I understand that:

1. I cannot have another ownership interest at the "note date" of the Home Possible loan (which I don't/won't)
2. FHA loans require a certain DTI ratio (excluding rental income) that I will have to hit (which I plan to)

Now, granted I'm able to meet both of these requirements, will there be any obstacle in changing my primary residence after 6 months from the Home Possible property to the FHA property? Is there a minimum time limit that must be met for owner-occupying Home Possible properties?

I very much appreciate any and all insight you may have!

Cheers,

Alex

[Chris Mason]

Originally posted by @Alex Whittow:

Hi Everyone!

I'm seeking out a Home Possible loan through Freddie Mac for my first home/multi-family property! It will be my primary residence and owner-occupied. From there, the plan is to live in this home for 6 months, and then obtain an FHA loan on a second property at which time I will move in and make that home my primary residence.

I understand that:

1. I cannot have another ownership interest at the "note date" of the Home Possible loan (which I don't/won't)
2. FHA loans require a certain DTI ratio (excluding rental income) that I will have to hit (which I plan to)

Now, granted I'm able to meet both of these requirements, will there be any obstacle in changing my primary residence after 6 months from the Home Possible property to the FHA property? Is there a minimum time limit that must be met for owner-occupying Home Possible properties?

I very much appreciate any and all insight you may have!

Cheers,

Alex

- Your owner occupancy promise is for one year.

- For most (95%) of scenarios, rental income from the unit you are vacating will not be counted by FHA.