FHA Assumption on 4plex

[Brad Lieberman]

Hi everyone, I have a question on the deal that I'm working on. I have an opportunity to purchase a four Plex that needs some additional work and is a deal that has a FHA loan that I can assume at a fantastic interest rate. I am trying to figure out if I am able to use HELOC funds to provide the additional payment to the seller of the property for the accumulated equity. I'm an interested in understanding if a lender would typically disallow that payment structure or permit it as an FHA assumption does not require the purchaser to invest any money as per the FHA handbook.