Note: While this may certainly be good news…it should be tempered with a bit of caution. Why? Because BEFORE you go out trying to buy everything you can get your hands on with hard money, understand that you still may have a hard time finding an end buyer who can get financed. Well..that is unless you can get your buyer into an FHA program and in that case…game on!!

Starting today home “Flippers” are now welcome at the FHA.

That’s right, with a glut of foreclosures plaguing the nation’s neighborhoods, the FHA is temporarily removing restrictions on investors who buy and sell homes within 90 days.

It’s just for one year, but Flippers are no longer persona non-grata with the government.

“FHA borrowers, because of the restrictions we are now lifting, have often been shut out from buying affordable properties,” FHA Commissioner David Stevens wrote in a statement last month. “This action will enable our borrowers, especially first-time buyers, to take advantage of this opportunity.”

So the FHA wants to encourage flipping and turn first-time buyers, who are already getting a tax break, into new real estate speculators? Nope, they just want to get as many foreclosed properties as possible off the market. This opens up a whole new bundle of buyers to current real estate investors who previously couldn’t flip the home to a low-income borrower.

The FHA is lifting the ban for just one year and there are some rules.

You can’t flip the property for more than a 20 percent profit in most cases and the transaction must be at “arms-length” so friends don’t collude to drive up the home value and then snag some unknowing buyer in the end. While banks and financial institutions were always excepted from the rule, private investors, like Oregon-based Gorilla Capital, were not, so this waiver, “will allow companies like Gorilla Capital, who research, assess, and purchase homes at foreclosure auctions, to sell more homes to buyers using FHA financing,” says the company’s CEO John Helmick. “With an average hold time of 52 days, the FHA 90-day seasoning rule created an artificial barrier to Gorilla selling homes to the general public, and prevented a large portion of the public from accessing the value home prices offered by Gorilla Capital.”

And that’s not all the government is doing to help buyers soak up foreclosures.

Fannie Mae announced it will offer 3.5 percent seller assistance for buyers of its HomePath properties, that is, foreclosures Fannie now owns. This can be used toward closing cost assistance or appliances, and it’s only for owner-occupant buyers who close on the property before May 1, 2010. Today, the Obama budget clearly put the kibosh on seller-assisted down payments, which is essentially what this is, so I guess what’s good for the goose is not good for the gander, that is if one of those birds is government entity.

Both the FHA and the Fannie programs, while temporary, are designed to spur home buying and particularly buying foreclosed properties.

Now is as good a time as any to learn how to buy foreclosures.

Other Sources:

The FHA flips on a policy Seattle Times, on Fri, 29 Jan 2010 22:18:34 -0800 FHA maintained its 90-day anti-flipping rule through much of the last decade. But now it’s suspending the policy, at least for the next year. … 

F.H.A. Lending Standards Tightened New York Times, on Fri, 29 Jan 2010 21:04:53 -0800 In the past, buyers could not consider an FHA loan for any property that had changed hands within the previous 90 days. This “no-flipping” rule blocked …

FHA and Fannie: Pushing Foreclosure Sales CNBC, on Mon, 01 Feb 2010 10:07:28 -0800 So the FHA wants to encourage flipping and turn first-time buyers, who are already getting a tax break, into new real estate speculators? …

FHA Lifts Flip Rule, Making Homes Easier to Buy KLAS-TV, on Mon, 01 Feb 2010 16:26:15 -0800Then, after investors flip the homes, buyers are pushed out again because FHA wouldn’t back the loans. Real estate expert Mark Baker says half the homes …

Flipping Foreclosures with FHA Loans Now Permitted HULIQ, on Tue, 02 Feb 2010 06:05:12 -0800Foreclosure investors have been frustrated by FHA mortgage loan rules prohibiting “flipping” – buying a home and then selling it within 90 days. …

It’s no wonder. Our research has indicated that foreclosed homes are selling for up to 60% or more off of fair market value. If you are looking to buy foreclosures in Wisconsin then you are going to want to do your own due diligence.

Here is some related information on foreclosures in Wisconsin:

Real estate market lost value in 2009 Milwaukee Journal Sentinel, on Sat, 16 Jan 2010 22:07:41 -0800  “It’s really skewed a lot by the foreclosure market,” said Dave Schmidt Jr. of Dave Schmidt Realty, which lists homes mostly in Milwaukee County. …

Rescuing Distressed Real Estate – Part One WisBar, on Fri, 15 Jan 2010 22:00:09 -0800  This opens significant opportunities for restructuring the economics of a real estate deal to prevent foreclosure and/or bankruptcy. …

DRL Real Estate Board The Real Estate Board and the Department of Regulation and Licensing share … and salespersons who engage in the practice of real estate in Wisconsin. …

It’s no wonder. Our research has indicated that foreclosed homes are selling for up to 60% or more off of fair market value. If you are looking to buy foreclosures in West Virginia then you are going to want to do your own due diligence.

Here is some related information on foreclosures in West Virginia:

West Virginia Real Estate Commission You may access this free tool at: http://www. mapwv.gov/flood. … The West Virginia Real Estate Commission has the principal purpose of protecting the …

DEVELOPERS BACK PRO-VRE CANDIDATES IN SPOTSYLVANIA Fredericksburg.com, on Sat, 16 Jan 2010 22:46:25 -0800  By DAN TELVOCK Developers and real estate agents pumped more than $24000 into the war chests of two Spotsylvania County supervisors who won re-election in …

Mortgage – West Virginia Division of Banking – Charleston, West … Mortgage Lender, Broker and Loan Originator Licenses – Verification and Information · August 14, 2007: WV Adopts Guidance on Nontraditional Mortgage Product …

It’s no wonder. Our research has indicated that foreclosed homes are selling for up to 60% or more off of fair market value. If you are looking to buy foreclosures in Washington then you are going to want to do your own due diligence.

Here is some related information on foreclosures in Washington:

WA State Licensing: Real estate The real estate licensing law, Adobe PDF icon RCW 18.85, has been completely rewritten for the first time since the law was created in 1925. …

Washington Association of Mortgage Brokers Offers broker listings, press releases and membership information.

Mortgage Brokers Licensing In Washington Licensing information for Mortgage Brokers doing business in Washington State.

Local News | Local foreclosures soar threefold in two years … Apr 26, 2009 … But records do seem to show high-risk loans have played a big role in foreclosures. A Seattle Times analysis of the Verona neighborhoods …

It’s no wonder. Our research has indicated that foreclosed homes are selling for up to 60% or more off of fair market value. If you are looking to buy foreclosures in Virginia then you are going to want to do your own due diligence.

Here is some related information on foreclosures in Virginia:

Real Estate Board Regulates businesses and individuals representing others in real property transactions; includes regulations, statutes, forms and licensee search.

Hampton Roads foreclosure filings soar in November – dailypress.com Dec 10, 2009 … Peninsula-area foreclosure-related filings in November hit the highest point in more than a year, even while foreclosures are tapering off …

Virginia Association of Mortgage Brokers Information on national and state legislative issues and the decisions being made which affect the mortgage industry.

It’s no wonder. Our research has indicated that foreclosed homes are selling for up to 60% or more off of fair market value. If you are looking to buy foreclosures in Vermont then you are going to want to do your own due diligence.

Here is some related information on foreclosures in Vermont:

WCAX.COM Local Vermont News, Weather and Sports-Obama mortgage relief program … WCAX, on Fri, 15 Jan 2010 09:25:29 -0800  By ALAN ZIBEL AP Real Estate Writer WASHINGTON (AP) – President Barack Obama’s plan to fix the foreclosure crisis has been a dud, putting the housing market …

Vermont.gov – Residents – Moving to Vermont – Real Estate Vermont dot gov … Real Estate. National Association of Realtors External Link; Vermont Real Estate Directory … Vermont Real Estate Guide External Link …

Vermont Mortgage Bankers Association Legislative information, social calendar, and how to join.

It’s no wonder. Our research has indicated that foreclosed homes are selling for up to 60% or more off of fair market value. If you are looking to buy foreclosures in Utah then you are going to want to do your own due diligence.

Here is some related information on foreclosures in Utah:

Utah Division of Real Estate The mission of the Utah Division of Real Estate is to protect the public and promote responsible business practices through education, licensure, ….

Foreclosure filings pile up in Utah – Salt Lake Tribune Jun 11, 2009 … Utah, which has seen a 115 percent increase in foreclosure-related filings over the past year, has the fifth-highest rate among all states, …

Utah Mortgage Lenders Association UMLA formed in 1996 by the merger of the Utah Mortgage Bankers Association (UMBA ) and the Utah Association of Mortgage Brokers (UAMB).

It’s no wonder. Our research has indicated that foreclosed homes are selling for up to 60% or more off of fair market value. If you are looking to buy foreclosures in Texas then you are going to want to do your own due diligence.

Here is some related information on foreclosures in Texas:

TREC – Texas Real Estate Commission Official site of the Texas Real Estate Commission, the body that governs real estate practices in the state. Includes licensing information, laws, …

Economist: Steady recovery for Texas Houston Chronicle, on Sun, 17 Jan 2010 11:14:21 -0800  The Dallas Beige Book, an overview of the Texas economy produced eight times per year by the Dallas Fed, pointed to commercial real estate as the weakest …

Texas Department of Savings and Mortgage Lending Toll Free Number: 1-877-276-5550. Texas Department of Savings and Mortgage Lending. Residential Mortgage Loan Originator (RMLO) …

Texas Mortgage Bankers Association – TMBA Includes frequently asked questions about closing on a mortgage.

It’s no wonder. Our research has indicated that foreclosed homes are selling for up to 60% or more off of fair market value. If you are looking to buy foreclosures in Tennessee then you are going to want to do your own due diligence.

Here is some related information on foreclosures in Tennessee:

Economy, Layoffs Factors In Increased Foreclosures NewsChannel5.com, on Fri, 15 Jan 2010 20:29:23 -0800  In December 2009 foreclosures in Tennessee jumped 28 percent from November 2009. Overall foreclosures in 2009 were up 7.83 percent from 2008. …

Tennessee Property Data Home Page STATE OF TENNESSEE REAL ESTATE ASSESSMENT DATA … is used by county Assessors of Property to assess the value of real estate for property tax purposes. …

Mortgage plan fails to live up to goals The Tennessean, on Sat, 16 Jan 2010 00:16:07 -0800  By Alan Zibel • AP • January 16, 2010 WASHINGTON — President Barack Obama’s plan to fix the foreclosure crisis has been a dud, putting the housing market …

It’s no wonder. Our research has indicated that foreclosed homes are selling for up to 60% or more off of fair market value. If you are looking to buy foreclosures in South Dakota then you are going to want to do your own due diligence.

Here is some related information on foreclosures in South Dakota:

South Dakota Real Estate Commission The real estate commission is a regulatory body charged with administering the real estate licensing act, the timeshare act, the condominium act, …

Rapid City | Newspaper Ads Online | Local Real Estate & Rentals … rapidcityjournal.com – Rapid City, South Dakota … Click here to view all subcategories within “Real Estate & Rentals” in Rapid City …