In the November 29, 2012, issue of the Federal Register (Vol. 77, Pages 71099 – 71101, click here) the Federal Housing Administration (FHA) published notice that it is extending the temporary waiver of the FHA Regulation prohibiting property flipping in connection with FHA insured loans until December 31, 2014. The notice Summary (redacted for brevity) is republished below: This notice of waiver extension announces that FHA is extending the availability of the temporary waiver of its regulation that prohibits the use of FHA financing to purchase single family properties that are being resold within 90 days of the previous acquisition, until December 31, 2014. This waiver, which was first issued in January 2010, took effect for all sales contracts executed on or after February 1, 2010. On January 28, 2011, FHA extended the waiver through calendar 2011. On December 28, 2011, FHA extended the waiver through calendar 2012. Prior to the waiver, a mortgage was not eligible for FHA insurance if the contract of sale for the purchase of the property that secured the mortgage was executed within 90 days of the prior acquisition by the seller, and the seller did not come under any of the exemptions to this 90-day period specified in the regulation. The waiver is applicable to all single family properties being resold within the 90-day period after prior acquisition. Additionally, the waiver is subject to certain conditions, and mortgages must meet these conditions to be eligible for the waiver [See pages 71100 – 71101 of the Notice]. The waiver is not applicable to mortgages insured under HUD’s Home Equity Conversion Mortgage (HECM) Program.