quick(?) question about FHA loans

ae2gaNovember 28, 2010

I am planning to move to Georgia (Dekalb County) in another year or two so that I can purchase a home. Currently, I live in SoCal (Long Beach), so purchasing a home on my single mother, public school teacher salary is out of the question. In reading the requirements for the FHA loan, one of the stipulations indicates that my employment must be consistent and show steady or rising income. When I move from California to Georgia, my income is going to decrease, and while I have taught for the same school district for 14 years, I will be a new employee when I move even though I will still be a teacher.

So the question: will I qualify for an FHA loan if I move from CA to GA? Will it be necessary to move, rent for a couple of years, and then purchase a home?

I am not yet ready to make this change (finishing a master's degree and I have a child in college for another couple of years), so I'm not sure whom to ask. I called one of the RE agents but was told since my move is so far in the future that I "shouldn't worry about those things." However, I need to have a definitive plan so that I can make this work.

Thanks so much for your input.

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so when does that agent think you should start thinking about it?
when the U-Haul pulls out of your driveway?

"My" teachers (buyers, I sell real estate) never have had problems getting FHA financing.

As long as you're working in the field for which your education & degree have prepared you, & your new income is comparable what other teachers are making in your new area, you should be fine.

    Bookmark   November 28, 2010 at 5:03PM
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The agent I spoke to apparently didn't see the value of my early need to know; I, on the other hand, must have advanced planning and lots of it to make such a move.

Thanks so much for your response. This inspires me to complete more homework - thanks bunches!

    Bookmark   November 28, 2010 at 6:12PM
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Hi ae2ga,

Your FHA loan application will consider your Georgia level of income. What is important is that you have had steady employment. Moving to a lower-paying (and thus lower-costing) region doesn't mean you'll be unable to qualify.

Hope that helps in yoru longterm planning ;~)
Dave Donhoff
Leverage Planner

    Bookmark   November 28, 2010 at 6:58PM
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It does indeed help with my long term planning as this has been a major concern - I have to move to be able to afford to purchase a home, but moving means new employment - same industry, but new employment nonetheless. But knowing that the FHA loan application will consider that I am remaining a teacher, will consider that my income will be reduced but so will the cost of living makes this plan seem ever so much more possible.

    Bookmark   November 28, 2010 at 11:03PM
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If you are moving to a completely new area you should consider renting for at least a year or so to explore the area.

There are many things RE agents are NOT allowed to point out or discuss that can have a great effect on the location you might choose.

    Bookmark   November 29, 2010 at 9:54AM
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Thanks for the tip.

    Bookmark   November 29, 2010 at 1:15PM
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We are looking at Mobil home on three acres of land. Trailor was not on these land before,it was moved from another lot it is set up know to where it cant be moved .with FHA loan would I qualify for these in Georgia.

    Bookmark   September 13, 2011 at 11:02PM
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I believe it would still be considered a mobile home, and therefore it would not be considered real estate. You could possibly get a lot loan, but these are difficult to find, and if you do, expect to have to pay down at least 25%.

    Bookmark   September 14, 2011 at 12:38PM
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