I was reading the forums over at BiggerPockets.com this evening, and one of the posters over there brought up a topic that I hadn’t really thought about in several months — the FHA 90 Day Flip Rule Waiver expires on January 10, 2011…
Given that I’ve sold several houses now in under 90 days using this waiver, and given that I’ll have two more on the market for sale in a week or two, you’d think this would be top-of-mind for me…but unfortunately I completely forgot about it.
The hope — of course — is that the waiver is extended, and I have to imagine that folks for all areas of real estate are petitioning for this to happen, but in the end, investors should prepare for the worst and assume the waiver will expire on January 10, 2011.
I’ve had a couple people ask me what the deadline means — is that the last day that a sale will be approved? Or is that the last day a property can be put under contract? Or something else?
Unfortunately, I don’t know the answer to this question (or any others), but will be doing some research and talking to other investors over the next couple weeks, and hopefully I can find out some more information.
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If I remember right, that rule was put in place to help the banks so they could sell their inventory a bit quicker. So given that their inventory has actually gone up and will be going up still, I would expect for the rule to be extended…fingers crossed!
Luis, banks are and have always been exempt from the rule. It was extended to help stabilize the market and allow investors to move houses as quickly as the market will allow.
Well, if one Googles ‘FHA 90 day rule’, your site comes up first. 🙂
Google awaits your research.
UJ