I don’t know how many times I’ve heard this, come to find out the fine print had some restriction, but this time it appears that us normal investors can finally rehab a property and immediately sell to an FHA buyer!
Here is the link to the actual ruling: click here
There is one snag – but easily handled: If there is more than a 20% difference between the purchase price and the sales price, the rehabber must document and justify the difference in value. In most cases, there will be an increase of over 20% – so keep track of those records, and good luck when it comes to dealing with FHA rules.
New blogs at http://jeannorton.com/blog2