I don’t know if each lender has their own rules or is it a strict government guide line.

@Lisa Maturo Not everyone qualifies for FHA, so you might as well take advantage of the program while you're qualified and can live in it!

I believe that guy I spoke about ^ had a list of contractors that are already approved through their program.  

(The program is Healthy Neighborhoods Program).I guess my question is .. being that I would like to get into investing ASAP and i feel like this would be a great small step , are there any more options out there that would be more optimal for my situation (hard money lender, other programs, better routes)? 

Jerry, there are several insurance programs for flips.  

Still government backed mortgage, and still owner occupied rates are possible.

I am starting to believe it is like the south park episode where they use a headless chicken to determine what action the government should take for each of the companies that bankrupt. 

That program is encouraging her to make as little as she can lol.

I think what you are referencing t=is the guru programs that are out there and mentor programs?

Here's how the process works as I understand it:1) You list your property2) Tenant expresses interest     a) you do your background check - if approved:3) Tenant gives you their S-8 RTA form     a) You fill out your portion and return it to S-84) They determine if your rent is within their market guidelines     a) If it is not, then they say "hey,  your rent is too high for our program, we'll only allow $635/mo, not $650" (as an example)     b) It's up to you at that time to determine if you will accept the lower amount or not.