1st home conventional out of state, 2nd home FHA?

[Gordon F.]

Hi all, 

I'm not sure where to find up-to-date info on this specific situation so I figured I'd ask.

We would like to buy rental property in Ohio with a conventional loan @ 20% down. We don't own a home yet in California (where we live), but would like to buy something for ourselves in the next 1-2 years hopefully. Would an out of state conventional-loan home purchase DISQUALIFY us from purchasing our first owner-occupied SFR for ourselves with an FHA loan (probably around 10% down) when the time comes? Am I shooting myself in the foot?

Any help or insight is appreciated!

-G

[Alex Roter]

Hey Gordon,

To be considered a first-time homebuyer, you cannot have any ownership interest (sole or joint) in a residential property for 3 years prior to purchasing the subject property. Only one borrower on the loan has to meet this requirement to be considered a first-time homebuyer.