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Updated about 8 years ago,
Assuming FHA loan on a property that has already been rented out.
My mother in law owns a home here in Houston with a current FHA mortgage, but had to move closer to us (on the other side of Houston) for health reasons. So, she rented out the house using a property manager and relocated to another property we own, which is just 10 minutes away. Now, she would like to unload her house and says she would let my wife and I assume the FHA loan for what she still owes. It's a great opportunity because she probably has $50k in equity that she would essentially be passing on to us. My question is can we assume an FHA loan on the property, as non-occupants, while keeping the current tenants in place? This is my first discussion post, so I appreciate any input.