Can I make it my primary residence while I rehab the place, then sell it?

I am looking for investment deals closer to my residence in OC  (but ROI seems low).

We are thinking of buying an investment property where my mother in law resides in.

I would make it a single family residence for your first one. 

IF your flip does not work out like you plan, if you run into unforeseen problems (see Occupants from Hell thread), if the rehab takes longer or if it does not sell or your market sees a steep decline in value the you get hit twice.First your investment property does not pay off as planned and second your LOC lender keeps calling and asking for additional or larger payments ... or worse, forecloses on your personal residence to make good on the LOC at a time when the value of your residence and your investment property are low (underwater).If lenders require additional equity in your investment property, look for another lender that will make a higher LTV loan OR look for someone who will partner with you on your investment property.Good Luck

https://www.biggerpockets.com/blogs/5110/blog_post...The only circumstances in which a borrower with an existing FHA insured loan for a principal residence may obtain another FHA insured mortgage on a new principal residence.

It requires the landlord to maintain a "habitable" residence.  

., resident in the forums.Click on the "learn tab" at the top of the page, and you could be spending many hours on the Information that is available.Raymond

Since you are buying as primary resident, you get better financing & lower downpayment as well.  

It appears the average price per multifamily and average rent in some of those areas may be more than that of Los Angeles.Monterey Park, San Gabriel, Alhambra, Rosemeadfor school district and food Lakewood, Cypressfor school district and we have family living there.These are the areas that I considered to be our next move when buying our next residence.