Getting a condo with an FHA loan and HELOC

FHA is only allowable for a home you are actually going to move into as your primary residence. If this is your plan, then depending on how long ago you refinanced your primary residence will have some impact on your qualification. Most, if not always, and FHA underwriter will look at your recent refinance of your current primary residence as a commitment to remain in that property for at least one year from the date you signed the documents. However, as you get closer to the one-year mark, an underwriter may allow the transaction if the move is driven by things such as job change or relocation. Now FHA will not allow you to take a draw from a HELOC to use as the down payment and closing costs. Underwriting guidelines require the underwriter to review the most recent two- months of bank statements. If funds were withdrawn from the HELOC today, (May 12th) deposited into your savings account and in August, you were to apply for a load and the new lender received statements that did not show funds deposited into the savings account, it is likely the underwrite would not tie the funds in the account as having been from the HELOC. Hope that helps.Bert Carpenter, The LoansA2z Team of NEXA Mortgage ~ NMLS 40586 ~ Certified Mortgage Advisor and Certified by The National Association of Mortgage Professionals as a Certified Veterans Lending Specialist.NEXA is licensed in all states except MA and NY so give us a call. ~ www.ApplyYes.com 480-889-9000 - OR - 480-695-9300

NO. While there are some exceptions, FHA loans are for your PRIMARY residence only. Next, in most cases, FHA is not the loan of choice. These days, we generally use an FHA loan as a second choice, if you can not qualify for a standard conventional loan. I lend for NON-QM in MN, Wi, IA, SD, ND. Find me at JoeMetzler.com - Cambria Mortgage, NMLS 274132

The first question will be are you moving into the new condo. Why are you moving to this new condo. You can use the funds from a HELOC to buy your next property. If you have more questions please call, text or email me. 224-420-9990, bbutler@barclaybutlerfinancial.com. Barclay Butler Financial Inc. We lend in CA, FL, IL, GA, NC, SC, & TN for residential loans. We can go down to 500 scores for VA & FHA. Barclay Butler. NMLS 225269.www.barclaybutlerfinancial.com