Posted by waynepdx on July 13, 2002 at 21:00:06:
What if you assign the contract and are paid out of the proceeds from the sale at the closing table.
I do know that you can tell the closing officer to make out as many checks as you want to whomever you want.
Cant you simply have your buyer instruct the closing officer to cut you a check for what you would get and claim it is a marketing and consulting fee?
Flipping homes via FHA loans or Bank Financed? - Posted by Mike
Posted by Mike on July 12, 2002 at 09:20:01:
To my suprise I was told that you can not do a multiple closing with FHA loans in NY City. I am told the if you are going to flip a home you need to hold title for 2 weeks before you resell it. Does anyone know if this is a legitimet statement?
I am also told that most banks will not participate in ‘flipping’ these days.
My object was to go to contract and then assign the contract or have a multiple closing. My lawyer said when the end buyer runs a title search and the house doesn’t come up in my name, the bank will recognize the flip and walk away.
Anyone with this experience in NY?
Thanks
Mike
Re: Flipping homes via FHA loans or Bank Financed? - Posted by Walt
Posted by Walt on July 12, 2002 at 13:23:43:
In most places, if you have the right title co. and you set the deal up right, the lender never knows you are involved. You buy the property in your name and or assigns and sell it to the buyer. Since you haven’t closed on the property you aren’t shown in the chain of title. Your seller has seasoning of title so that isn’t a problem. Again, the key is the title company that knows how to do this.
Re: Flipping homes via FHA loans or Bank Financed? - Posted by Brian M. Powers(MI)
Posted by Brian M. Powers(MI) on July 12, 2002 at 11:02:40:
i can’t speak of any specific FHA requirements in the NYC area.
but FHA does require 6 months seasoning on the chain of title.
if you are going to be flipping properties via “quick-flips”, you really can’t flip to FHA buyers.
BMP