In Missouri - I have this "friend"... he and his Wife are looking at buying 2 houses at the same time. House #1 will have a loan in her name and House #2 would have a loan just in his name. House #2 is for them to live in, House #1 is a family member's house (off-market) that they want to BRRRR and are being "equity gifted 25%". Both Husband & wife qualify for each home using their own incomes (very little debt, excellent credit, no problem with income/loan ratios). With closing dates of just 10 days apart, is that an issue? Both homes are being "bought" as "primary residences" with the mortgage companies... so they have the following questions: #1 - Is there any requirement to notify each mortgage company of the "other house" purchase (since opposite names aren't on the loans, both would be on the deeds); #2 - Will House #2 likely find out about the House #1 purchase in that short of period of time? #3 - How would they turn House #1 into a rental during the 1st year? The mortgage deal works great with a 3% mortgage rate loan on each house but not so good with a 6% investment rate and even more of a down payment. House #1 would be the rental house and is too small to be the "family" live-in house, but perfect as a rental. House #1 needs to be sold due to family member health care needs and taxes and upkeep so the quick sale is needed to pay for care and bills. House #2 purchase was already under contract when this issue popped up a week later (besides house #1 is not big enough). No other family members have the income and down-payment ability to do this.
