Getting an FHA with Relative (Out of State Investing)

[Travis Newton]

Quick question regarding the FHA loan.

In my area of Arlington/Grand Prairie, TX there aren't a ton of multifamily properties. We're working with a great RE agent who did warn us that it'll probably be an uphill climb to find a decent duplex or quad in our area. 

With that being said, I have a close relative that lives in Oklahoma City where there are a ton of duplexes, new, old, and everything in-between. I'm curious if he and I take out an FHA loan, but he lives in the property while I stay in TX, would that be frowned upon by the lender?

Essentially, it's a partnership, where I'm putting the down payment down, etc. but I need him for the location. 

Does anyone in the group have any experience with this type of arrangement for out-of-state investing? 

Thanks all!