U.S. extends FHA program for flipped houses

WASHINGTON Jan 28 (Reuters) - The Obama administration on Friday extended a popular program allowing buyers of flipped homes to obtain loans backed by the Federal Housing Administration.

The program, which was set to expire on Jan. 31, was extended to Dec. 31.

Flipping refers to the practice of buying a home and quickly reselling it in order to make a profit. In the past, the FHA banned buyers from obtaining government-backed mortgage insurance on homes that they bought less than 90 days after a previous sale.

The ban was lifted to help investors sell foreclosed properties, a move designed to aid the depressed housing market. (Reporting by Corbett B. Daly; Editing by Andrea Ricci)