The 2010 Anti-Flipping Waiver Has Been Extended
The anti-flipping waiver that was initiated in 2010 by the U.S. Department of Housing and Urban Development was set to end this Saturday, December 31st, but it has been extended. This means Florida home buyers will still be eligible to purchase flipped homes with Federal Housing Administration loans throughout next year.
The waiver stated that FHA-backed loans were forbidden from being used to buy homes that have been owned by the seller for less than 90 days. Its purpose was to prevent unfair flipping which would drive up home prices; much like what happened during the boom which played a role in the crash.
The government decided to extend the waiver due to the high amount of foreclosures on the market as well as the large amount of homes that aren’t listed yet. Officials felt as though the waiver of blocking the sale of flipped homes would further hurt neighborhoods trying to overcome abandonment.
If you are interested in buying or selling a home in South Florida contact Urbanism Group today at 888-774-9692.
Source: The Palm Beach Post