Rules of Occupancy

Posted on January 2, 2009
Filed Under FHA Home Loans, Home Loans | 2 Comments

Principal Residences

An FHA Insured mortgage is intended for owner occupied dwellings.   In other words, there is at least one borrower who intends to occupy the residence for the greater part of 1 year.  The borrower must occupy the residence within 60 days after signing the security instrument with continued occupancy for at least 1 year.

To prevent investors from circumventing the FHA insured mortgage program a borrower may only have one fha insured mortgage at a time.  There are exceptions to this rule, however.

Exceptions Include: (see 4155-1 for full guidelines)

Secondary Residences - See 4155-1

Investment Properties – See 4155-1

Non Profit Organizations and State and Local Agencies – See 4155-1

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2 Responses to “Rules of Occupancy”

  1. FHA Loan Application Checklist | Vancouver Washington Real Estate Information on January 2nd, 2009 11:08 pm

    [...] Rules of Occupancy [...]

  2. FHA Closing Costs | Vancouver Washington Real Estate Information on January 2nd, 2009 11:23 pm

    [...] Rules of Occupancy [...]

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