Download the SF Handbook 4000.1 starting at the bottom of page 144.A Borrower may be eligible to obtain another FHA-insured Mortgage without being required to sell an existing Property covered by an FHA-insured Mortgage if the Borrower is:• relocating or has relocated for an employment-related reason; and• establishing or has established a new Principal Residence in an area more than 100 miles from the Borrower’s current Principal Residence.

I'm keen to refinance and build a 3rd smaller rental suite under the existing house as it's on a hill and there's a small workshop space with some rock retaining wall that needs to be replaced with concrete foundation anyway.

If anyone can provide that link (if it still exists) that would be appreciated.Thanks!

You need to make sure the policy you have on the property allows for the business use that exists there.  

Because no photos exists pre move in the fact is you don't have any proof one way or the other. 

I saw one of their follow up episodes in which they revealed they hadn't even checked on existing liens, and found they had purchased a house with a $30K lien on it.

Since there is no inventory of existing home, what do you think of buying a new home?

I am concerned the cost of remodeling may be expensive because the existing ceiling height is only 6.5 feet so we would need to lower the floor by at least a foot.

There are some groups that exist for the purpose of helping investors learn and network...and there are some groups that exist for the sole purpose of selling you things to enrich the organizers.

Did the gap exist when she looked at the home, applied to rent it, and then signed a rental agreement?