Speeding the Resale of REO properties in the Coachella Valley

Speeding the Resale of Foreclosed Properties in the Coachella Valley..When an investor buys a property at Trustee Sale, fixes it up, then lists it, the listing states that "due to the FHA flip rule, FHA loans are not available.."  or something to that affect.

According to this article below, HUD is changing the rule on Feb. 1, 2010 so that within certain perameters, FHA mortgage Ins. and therefore FHA loans will now be available! 

Here in the Coachella Valley, where this is a very common occurance, I see this as a positive.  As long as the mark up isn't huge, and it fits the Lender's conditions, this can help first timers get a great buy.  I am seeing fixed up homes being listed every day here in La Quinta and South Palm Desert, that are currently unavailable to Buyers hoping to purchase with an FHA loan.  Hopefully, this will open the door for more Buyers who are ready and able to purchase their first home or move up home at a great price!

http://portal.hud.gov/portal/page/portal/HUD/press/press_releases_media_advisories/2010/HUDNo.10-011