IS THIS TRUE!
I went to my r.e. networking group and there was a mortgage loan office from Suntrust who stated that Investors could no longer use FHA, VA, or 203K and that will be for primary residentials only because there were so many high defaults out there now. They said it had nothing to do with the bank but Fannie Mae has made this decision and there were new guidelines coming out.
I want to know if this is true?
From what I am hearing the answer is Yes it is true.
Okay, so how in the world are investors going to be able to purchase property for investments if this is what they are doing now?
Couple of ideas. Ask the owners to finance the property. Buy personal residence every 2 years and keep the old one. Take subject to or lease option. Contract for deed.
We should avoid using banks when we can. They take a lot of our money!