Monday, January 18, 2010

FHA Lifts 90 Day Seasoning Requirment

Starting February 1st for a period of 1 year the FHA will lift the 90 seasoning requirement.  This is fantastic news for investors.  There are still some restrictions and requirements, but the policy change recognizes the needs of the marketplace. Here is what the FHA had to say in their press release:

“In today's market, FHA research finds that acquiring, rehabilitating and the reselling these properties to prospective homeowners often takes less than 90 days. Prohibiting the use of FHA mortgage insurance for a subsequent resale within 90 days of acquisition adversely impacts the willingness of sellers to allow contracts from potential FHA buyers because they must consider holding costs and the risk of vandalism associated with allowing a property to sit vacant over a 90-day period of time.”

The complete press release is here.

No comments:

Phoenix area real estate market news and information

Hunter James Properties, 602-618-6728

ActiveRain Real Estate Social Network