less than 90

less than 20%

Arms Length Transactions only
no pattern or previous flipping on the property
marketed openly and fairly
seller must hold title

91-180

greater than 100%*
* double previous price

seller paid second appraisal

This is to be used as a guide to be presented to seller's who are considering accepting FHA insured financing on resale of a 'flipped' property. These guidelines are for private re-sales and are presented in response to HUD's 'Waiver of Requirements of 24 CFR 203.37a(b)(2)" The original guideline was any resale of property may not occur 90 or fewer days from the last sale in order to be eligible for FHA financing. The waiver, which goes into effect February 1st, 2010 and will be in place for one year, allows resale within the 90 day time period, subject to the above restrictions. HUD may, at it's discretion withdraw the waiver at any time.