Cases received by HUD
on or after June 2, 2003 are subject to the following property
flipping rules:
Property resold
within 90 days of acquisition is not eligible for
FHA mortgage insurance unless one of the property flipping exemptions apply to the case.
A property flipping exemption may be applied to cases assigned an FHA case number on or after September 15, 2015.
Note: The 90-day flipping rule was temporarily suspended between February 2010 and December 2014.
Property must be purchased from
the owner of record.
A second appraisal
is required for property located in a designated area that
is resold within 91-180 days after
acquisition and the new sales price meets or exceeds the resale
price percentage threshold. The threshold is based on the property's
zip code.
A second appraisal is required
for property resold within 91-180
days after acquisition and the new sales price meets
or exceeds the resale price percentage threshold.
