How long do I have to live on the property to qualify for residential financing?

[Reilly Brown]

Lets say Bob lives out of state, but he sees a great opportunity in Las Vegas, and wants to take advantage of the benefits of FHA loans. Keeping everything 100% legal, how can he minimize his time in Las Vegas while still having it qualify as a primary residence?

[Bill B.]

He’s going to move there, become a resident, get his new drivers license and register his cars within 30 days as required by the DMV. Get homeowners insurance and tell the county that it’s primary home and not a rental because there are different tax rates and lying about its use would be a bad idea. Obviously the mortgage and utilities would all be in his name with the property as the billing the address. And 1 year later he could move back to his state with a higher cost of living and a state income ta.  After all, he’s going to sign a form saying he’s going to occupy the property. 

He’s not dumb enough to get a landlord policy or rent out a property he’s already told the taxing authority his a primary home, after all, if it was a great deal and he didn’t want to occupy he could afford to pay the extra 1-2% interest like other investors. I’m sure he isn’t looking to screw over the idiots willing to borrow such a shifty person money. I know I know. You asked how to do it legally. But I’m assuming your friend knows the correct answer is move there for a year, only he can decide if that’s worth it to save a few thousand a year in interest. Hopefully the lack of income tax, lower owner occupied property taxes, and cheap insurance make up for the cost of moving. 

[Doug Spence]

@Erik Browning is knowledgeable about this. 

[Erik Browning]

Quote from @Doug Spence:

@Erik Browning is knowledgeable about this. 

 Thanks Doug! Looks like @Bill B. hit the nail on the head!

[Reilly Brown]

Thanks everyone for the helpful answers! To be clear, I want to keep this 100% legal and transparent. Just trying to wrap my head around the expectations that come with an FHA, and the "primary residence" requirement seemed a bit...indeterminate to me. I'm in the early phases of forming strategy, and using real scenarios is my preferred way of learning the concepts. Makes perfect sense what I'm hearing, and sounds like the answer is to move there for at least a year. Thanks again!

[Ryan Thomson]

You have to intend to move in within 60 days and intend to live there for a year.

You have to have a job lined up there (or work remotely). 

There are lots of qualified reasons for moving early, but you have to intend to live there for a year. 

Your lender should be able to help you think through these questions. 

[Yu Liu]

Bill pretty much got it. 

Do what he described with the full "intention" of living there but hey if you have to go back out of state to visit family or do some business trips out of Vegas, that's fine too