FHA 203k

[Joe M.]

My understanding of FHA 203K loans are that they are not available for non-owner occupants.

Assuming this is correct why do I consistently see multi-family dwellings listed on the hud website as being 203K eligble?

I guess it would be required to be an owner occupant?

[Paul Welden]

The FHA 203k loan is eligible to be used for single family dwellings up to and including four family dwellings. Only owner occupants and qualified non profit groups can qualify for this loan.

Since 1996, there has been a moretorium on investors using the 203k. However, it is expected to make a comeback this year, around May 2011.