Get Affidavity For Gehs Ec

A non-owner-occupied property is a residential property that is owned by a person who does not intend to use it as their primary residence. Instead, it is turned into a rental property. The costs for maintenance, repairs, and more are financed by the owner, but they do not reside in it.

Lending companies cannot force a homeowner to live in a home when they have legitimate reasons –– or even desires –– to move. However, to get out of the owner-occupancy clause on a primary residence home loan, the owner should be able to prove that they had every intention of occupying the home at the time of purchase.

You may continue treating your first home as your main residence for capital gains purposes when you stop living in it and rent it out for up to six years. You must consult your tax adviser to determine the capital gains tax implications from the sale of your property.

What is Reverse Occupancy? A borrower buys a home as an investment property and lists rent proceeds as income in order to qualify for the mortgage, but instead of renting the home, the borrower occupies the home as a primary residence.

A letter of intent to occupy is a concise legal document that you write stating your intention to live in the home you're mortgaging as your primary residence. Your primary residence is important because it ties directly to certain tax benefits and usually a better mortgage rate.

And if you're a new customer, you'll need to refinance your home loan but you'll be applying for an owner occupied (live-in) home loan instead of an investment. You also don't need to record your rental income for that property in the application.