How to I transfer my FHA mortgage to a new new home purchase?

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I bought my first house last year with an FHA loan (for about $ 196,000). I need to move for my job and would like to sell my house and buy a new house in the new city. It might take a while to sell my first house. I read somewhere that the FHA loan is portable and you can easily use it to buy another house, Does this mean that I won’t have to reapply for a mortgage or have my finances scrutinized again like it was when I applied for my first home? Any advice would be appreciated.

2 Comments
  1. Reply
    Realtyyoudefine
    May 16, 2011 at 10:57 pm

    Mortgage loans are specific to the property. When you sell your home, the loan is paid off from the proceeds of the sale.
    Yes, you will have to apply for a loan for the new property.
    Your finances will and should be scrutinized.
    FHA loan APPRAISALS may be portable – that just means that if a buyer is shopping for rates with various lenders they do not need a new appraisal for each lender.

  2. Reply
    chatsplas
    May 16, 2011 at 11:50 pm

    You misheard or misunderstood.
    A mortgage is specific to a specific piece of property and is recorded against it as a lien.
    Can only have one FHA mortgage at a time, so must sell first home to be eligible to get another.
    Need 10-20% down for conventional loan, so save up. Also your debt load will be increased, making it more difficult to get loan approval. If your first home is rented out with a lease, that helps on that issue.

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