FHA Flipping Rule

Updated 3 months ago ​by Aneesah Emeka

In a nutshell:  It's a rule where a buyer cannot use an FHA loan to purchase a home owned by the seller for less than 90 days. Therefore the purchase contract date must be 91 days after the recorded deed date.

What you need to know: 

  • A property being resold within 90 days of the current owner's acquisition date is not eligible for an FHA-insured Mortgage.
  •  The seller must be the owner of record and the sale may not involve an assignment of contract. 

We recommend checking with your lender if you're not sure if a property will qualify for FHA financing.