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Old 06-17-2015, 05:57 PM
 
549 posts, read 819,144 times
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My husband is being promoted and we will have to move to another state. We currently are 4 years into our mortgage which is FHA loan. We would like to rent our current house and buy another property doing another FHA loan. We will have a small amount to put down. Our credit is in the high 700's. I don't know if this is even possible. We have to buy in the new state because of our many pets. So if anyone has any input I would appreciate it. We currently live in Missouri and the move will take place to Texas.
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Old 06-17-2015, 06:29 PM
 
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Maybe someone else will chime in with more detail, but why do you want an FHA loan? if you have good credit and can get a traditional loan it seems like a better option. My understanding is the mortage insurance on FHA loans is extremely high and you usually need to refinance to stop paying it.
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Old 06-18-2015, 11:23 AM
 
Location: Phoenix, AZ area
2,931 posts, read 2,389,174 times
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Quote:
Originally Posted by Brinson View Post
Maybe someone else will chime in with more detail, but why do you want an FHA loan? if you have good credit and can get a traditional loan it seems like a better option. My understanding is the mortage insurance on FHA loans is extremely high and you usually need to refinance to stop paying it.
PMI is .85% and for life of the loan.

To OP, any loan is going to be hard unless you have the income to pay for both, unless you have a tenant on the first before you apply for a loan. Consult a mortgage lender for the info you seek.
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Old 06-18-2015, 11:32 AM
 
3,317 posts, read 7,251,326 times
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Quote:
Originally Posted by jkiss View Post
My husband is being promoted and we will have to move to another state. We currently are 4 years into our mortgage which is FHA loan. We would like to rent our current house and buy another property doing another FHA loan. We will have a small amount to put down. Our credit is in the high 700's. I don't know if this is even possible. We have to buy in the new state because of our many pets. So if anyone has any input I would appreciate it. We currently live in Missouri and the move will take place to Texas.
You can have another FHA loan on another property, due to the relocation. You will have to qualify with your income and WITHOUT the use of any rental income from the house you are vacating.
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Old 06-18-2015, 11:50 AM
 
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The Federal Housing Adminstration rules say it is OK for you to temporarily renting out home after residency requirements are fufilled, but YOU CAN get a second FHA loan if you move far enough -- Can I Rent Out My Home With an FHA Mortgage? - Budgeting Money

Depending on your situation, it may be wiser to sell the first home OR use a traditional loan for new home OR attempt to refinance existing FHA loan...
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Old 06-19-2015, 06:46 PM
 
549 posts, read 819,144 times
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Ok so would this work? Say we get a bridge loan buy another house in the new state and get our old house ready for sale. His company will buy our house but we definitely will need to be out and get it ready before we have any one look at it.
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Old 06-19-2015, 07:26 PM
 
3,317 posts, read 7,251,326 times
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Originally Posted by jkiss View Post
Ok so would this work? Say we get a bridge loan buy another house in the new state and get our old house ready for sale. His company will buy our house but we definitely will need to be out and get it ready before we have any one look at it.
That would be the Relocation Buyout Value Option. Might have another name, but it's awesome. Bridgeloans are few and far between, but I can send you a couple options unrelated to my business. I'm assuming he has Temp Housing in the new spot? Your scenario is sound. But it sounds like the relocation company/employer will cover the debt as part of the contract, indemnifying you from the payment, and you can, if need be, go FHA again, or Conventional, whichever works best.
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Old 06-19-2015, 09:52 PM
 
16,484 posts, read 17,501,756 times
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Quote:
Originally Posted by jkiss View Post
My husband is being promoted and we will have to move to another state. We currently are 4 years into our mortgage which is FHA loan. We would like to rent our current house and buy another property doing another FHA loan. We will have a small amount to put down. Our credit is in the high 700's. I don't know if this is even possible. We have to buy in the new state because of our many pets. So if anyone has any input I would appreciate it. We currently live in Missouri and the move will take place to Texas.

Can your income support two mortgages? If the percentages fall in the right side of the scale it's possible.
Personally I will never be a long distance LL. BTDT. Our rentals are all within 20 minute drive. I know my neighbors and my tenants. I can respond to any issues. And I'm not paying 10% to a PMC
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