FHA announced in FHA INFO #14-73, issued December 10, 2014, that the temporary waiver of the regulation that prohibits FHA financing of a property being re-sold within 90 days of purchase is expiring and will not be renewed.
Properties being resold within 90 days of the previous acquisition must have a sales contract, signed by all parties, dated no later than December 31, 2014 to be eligible for the waiver. If the sales contract is not signed by all parties by December 31, 2014 the transaction is subject to the regulation prohibiting an FHA mortgage on a property that is being re-sold within 90 days of the previous acquisition.
As a reminder, this restriction does not apply to the resale of HUD or other federal agency REO property, properties owned by state or federally charted financial institution, or a government sponsored enterprise (GSE), or the sale of a property by nonprofit organizations that have been approved to purchase and re-sell HUD RE properties within in 90 days of the previous acquisition.
The FHA Program guidelines will be updated with this information and posted on the HomeBridge website at www.homebridgewholesale.com.
If you have any questions, please contact your Account Executive.