Key points about FHA loans for investors:
- Primary Residence Requirement: FHA loans generally require that the borrower intends to use the property as their primary residence. Borrowers are typically required to move into the property within 60 days of closing.
- Occupancy Certification: FHA borrowers are usually required to sign an occupancy certification, confirming their intention to occupy the property as their primary residence.
- One-Year Occupancy Requirement: FHA loans often have a one-year occupancy requirement, meaning that the borrower must live in the property for at least one year before they can consider renting it out.
- Non-Owner Occupied Properties: FHA loans are not designed for financing non-owner occupied or investment properties. If a borrower is found to have purchased a home with an FHA loan and is not using it as their primary residence, they may be in violation of the loan terms.
