Also, I know its required that I live in an FHA financed home for minimum 1yr, so can I live/rent somewhere else while the rehab is being done or does the home have to be my primary residence?

Renting gives people the flexibility to move around and transplant every year or so - something very attractive to young people. 

In my previous duplex, once my reserves would hit $5k I would then pay down the mtg.This is an a growing area outside of my local mid-south metro.  2 universities, military base, and new battery plant (being built) plus a local boom of transplants in the mid south.Asking price is $840k however it just came to market, so not sure how much negotiating room.Would love to hear thoughts and opinions.View report*This link comes directly from our calculators, based on information input by the member who posted.

That can enable you to live rent free, even while you still collect your BAH. 

If you're not actually going to pay the rent either then all you're doing is collaborating with a non-paying tenant in an effort to allow them to live rent free.let me not sideline my own post and create another one specifically to discuss this erap program.

My first thought was "cover it up with bushes", but I know very little about transplanting shrubbery, but it's nearing winter, and I imagine this could be fairly costly. 

Or is it to live rent free?

Not sure what they would be on $2,000,000 in CA, but I wouldn't think all that different.Of course if you take the $1.5mil you get for it there and then spend the same here, you get one of the best houses in town, but the taxes are probably triple...or you buy a more modest house and two duplexes and let the cash flow from the duplexes pay the extra taxes.well not everyone wants to be a landlord :).. and I suspect, don't know for sure.. but based on what the CA transplants buy in our market here in Oregon ( and I am a CA transplant) .. they go for nicer houses.. 

@Alex Bradley I can believe it would be next to impossible in most areas of California, but where @Jacoby Bodley and I live real estate is super-cheap. 

I have about 300k in equity and have worked hard to get my mortgage down I would like to live rent free.