Posted by Bill Gatten on November 06, 1998 at 15:14:41:
Nope. Sorry. Creating a land trust does not constitute a sale and he (your seller) would still have the loan in his name.
Bill Gatten
Due on Sale and FHA - Posted by Thomas C Lindsey
Posted by Thomas C Lindsey on November 05, 1998 at 01:17:24:
I recently heard about how you can avoid the due on sale clause by using a land trust. I have a friend who has a home he cant sell-it has an existing FHA mortgage on it. If we created a land trust to transfer ownership to me, would he be able to go out and get a new FHA loan?, you can only have one FHA or VA loan out at a time. Any help is greatly appreciated.