A Flippers Problem Solved
Recently I’ve had more conversations with rehab flippers complaining about the FHA seasoning guidelines than I can remember. For those of you who are not aware of the guidelines, in short if a person is getting FHA financing, the property they are purchasing needs to be owned by the seller for 90 days before they will finance.
Well, here is a simple solution to your problem.
- locate a potential buyer who is pre approved
- accept a 3 to 5 percent down payment
- place them on a 3 month lease purchase allowing them to lease the property until the FHA time guidelines are met
- explain to them that they shouldn’t apply for any credit or make any large purchases until they close on the house
- If their pre-approval expires have them renew
- set up close date & collect your check
Obstacles many times get in your way, but with an understanding of your desired goal it should not be hard to look at any situation and come up with multiple ways to solve them.
Remember, Failure is not an Option!!!