Buying second Property After First FHA Duplex

[Account Closed]

Hi Everyone,

I bought a Duplex six months ago using my tax return. I am looking towards buying my second property this year using my tax return.

I am unsure if i should use a hard money lender and do a flip then getting a mortgage or getting a Second FHA under my girlfriends name

My mortgage lender recommended that i wait to get married as i can get another FHA loan under my girlfriends name.

He also said i should refinance into a conventional loan as the property is still my primary residence. Then get the FHA under her name and buy another multi unit. Then every 6 months we could each get a fha and refinance.

I am looking to add to our real estate portfolio and do not now whether i should work with a hard money lender or do an FHA 203K so i can BRRR.

The money i would have on my end would be from my tax return so it would be about $6,000

Sorry if there is any confusion, but does anyone have any tips?

Thanks,

[Chace Fraser]

@Account Closed there has been a lot of great info provided here! To reiterate, for the most part, you can only have one FHA mortgage in your name at one time. There are exceptions, as mentioned, that are few and far between (like if you were moved to another area by your work), but for the most part it's only possible to have one at a time in your name. If two people are on the same FHA loan, then this counts as their one FHA loan.

One strategy, that my wife and I are employing, is to leapfrog who is on the loan. How this would work is one person would buy the first property with their FHA loan, and then when you're ready to purchase the second property, the other person could purchase it with their FHA loan. Yes, this does present the challenge of both individuals needing to be able to qualify for a loan on their own, but it's a great way to do it. Then, when it's time to purchase the third property, you could either refi out of the first FHA loan (if you have enough equity), and then use your FHA loan again, or use a conventional loan product.

This strategy is not without its challenges. One person must be able to qualify for a loan on their own. It works well in Oregon because we’re a personal property, not community property, state. This means that when one of us goes to get an individual loan, the bank will not look at the other person's debts/liabilities.

Game Planning for multiple house hacks can get a little tricky. I have a lender that I work with who's an investor herself and incredible at creating strategies to move forward on your next purchases (she helped us devise our strategy outlined above). If you'd like me to connect you with my lender (she's licensed in all 50 states) send me a DM.