eclark5483
Junior Member
What is the name of your state (only U.S. law)? Nebraska / (now live in Iowa)
OK, here's my situation. I bought a home in Nebraska about 6 years ago, (LOAN WAS THROUGH CORNERSTONE BANK, BOUGHT OUT BY US BANK), a job offer came up in Iowa where I am from, so I accepted. Before I did, I asked the bank if I could sub lease (rent to own) my home out. They said the only thing they ask, is to have the new tenants come in and see if they qualified for a home loan of their own. (MORE ON THAT IN A BIT).
So anyway, I accepted the job and have been working for about 6 months when I receive a letter from the bank stating I am in violation of the terms of my loan because my home is not owner occupied and that it needs to be occupied for the duration of the loan as it is a term of the FHA loan. So I call up the lender and tell them "I DO NOT HAVE AN FHA LOAN". When I initially bought my home, we used our 401k funds but were given a sub loan to pay off the closing fees, this was the FHA part. The sub loan was paid off via the 401k funds.
So anyways, I wrote the bank a letter explaining the job situation and why I moved and explained that I have tenants living in my home who are sub-leasing and will be buying the property once their credit situation is straightened out, and the bank gave me a 1 year extension and said I could reapply after 1 year for extended time.
The deal with my tenants is, they are long time friends of ours who used to own a home themselves, she had cheated on him and they broke up for a while, causing them to go into foreclosure on their own home, they then reconciled and needed a home to live in and since I was planning to move anyway, I let them occupy mine, terms are, they just make the payments for me at the bank. They (as far as I know), probably wouldn't qualify for a home loan at this point because of their recent foreclosure. They were paying almost double what they are paying now for their home then, so they have been consistent with house payments for me, I have never has any problems with them at all, never had any late house payments in all these years that I have had the loan.
I bought a new home here in Iowa on a short sale with straight up cash that we have saved over the years so I have no 2nd loans for my new home. I simply want OUT of my home loan that I have in Nebraska. I was thinking of putting the property up for sale or even maybe doing a deed in lieu of foreclosure but that would be a dirty thing to do to the folks who live there now. He has already made some significant improvements to the property and has invested alot of time and effort into fixing it up.
I guess my question is... WHAT CAN I DO? Do I HAVE TO occupy my home even though it was only a sub loan that was FHA and the sub loan is paid off?
OK, here's my situation. I bought a home in Nebraska about 6 years ago, (LOAN WAS THROUGH CORNERSTONE BANK, BOUGHT OUT BY US BANK), a job offer came up in Iowa where I am from, so I accepted. Before I did, I asked the bank if I could sub lease (rent to own) my home out. They said the only thing they ask, is to have the new tenants come in and see if they qualified for a home loan of their own. (MORE ON THAT IN A BIT).
So anyway, I accepted the job and have been working for about 6 months when I receive a letter from the bank stating I am in violation of the terms of my loan because my home is not owner occupied and that it needs to be occupied for the duration of the loan as it is a term of the FHA loan. So I call up the lender and tell them "I DO NOT HAVE AN FHA LOAN". When I initially bought my home, we used our 401k funds but were given a sub loan to pay off the closing fees, this was the FHA part. The sub loan was paid off via the 401k funds.
So anyways, I wrote the bank a letter explaining the job situation and why I moved and explained that I have tenants living in my home who are sub-leasing and will be buying the property once their credit situation is straightened out, and the bank gave me a 1 year extension and said I could reapply after 1 year for extended time.
The deal with my tenants is, they are long time friends of ours who used to own a home themselves, she had cheated on him and they broke up for a while, causing them to go into foreclosure on their own home, they then reconciled and needed a home to live in and since I was planning to move anyway, I let them occupy mine, terms are, they just make the payments for me at the bank. They (as far as I know), probably wouldn't qualify for a home loan at this point because of their recent foreclosure. They were paying almost double what they are paying now for their home then, so they have been consistent with house payments for me, I have never has any problems with them at all, never had any late house payments in all these years that I have had the loan.
I bought a new home here in Iowa on a short sale with straight up cash that we have saved over the years so I have no 2nd loans for my new home. I simply want OUT of my home loan that I have in Nebraska. I was thinking of putting the property up for sale or even maybe doing a deed in lieu of foreclosure but that would be a dirty thing to do to the folks who live there now. He has already made some significant improvements to the property and has invested alot of time and effort into fixing it up.
I guess my question is... WHAT CAN I DO? Do I HAVE TO occupy my home even though it was only a sub loan that was FHA and the sub loan is paid off?
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