All Forum Posts by: Steven Bennett

Thank you for your reply Cara.

>> My question to you is why don't YOU buy the new unit as an owner occupied Borrower and move into it, then let your parent's stay in YOUR previous unit?

I'm happy to buy the unit and move into it. The challenge with that approach is that I'd need to explain why I want to move to the new unit to give the underwriter a reasonable explanation that I am not using the new unit as an investment property. 

The current unit that I'm considering is nearly identical to my unit (i.e. it is the same floor plan and one floor above) and does not have advantages in terms of number of bedrooms, size, reduction of noise or more light, etc. If a bigger unit goes on the market, I'll revisit this option.

Please let me know if I've misunderstood anything and the letter of explanation can be crafted based on other factors that I am not aware of.

Hi folks,

I have a question regarding Fannie Mae's owner occupied financing option for "Children wanting to provide housing for parents":

https://www.fanniemae.com/content/guide/selling/b2...

What information about my parents would an underwriter require to qualify me (the child) for such a loan?

Is citizenship or US residency of my parents a factor for the underwriter in this case?

Context:

1. I've owned a condo in Seattle WA for more than 1 year and have an owner occupied conventional loan for it.

2. There is a similar unit in the same condo that I'd like to buy for my parents' use when they visit. The building has an owner occupancy below 50%. Due to to the owner occupancy rate the building does not qualify for Fannie Mae conforming investment loans (only owner occupied loans). This is why I'm forced to evaluate the "children provide housing for parents" option rather than an investment loan.

3. I am a green card holder but my parents are still Canadian citizens living in Vancouver BC (about 2.5 hours away) and have not started their green card application.

Thanks for your help on this topic and any advice that you might care to share!