diff --git a/test/vhost/common/common.sh b/test/vhost/common/common.sh
index 2ebcb767a..fb001c31e 100644
--- a/test/vhost/common/common.sh
+++ b/test/vhost/common/common.sh
@@ -220,8 +220,9 @@ function spdk_vhost_kill()
 			rm $vhost_pid_file
 			rc=1
 		else
-			#check vhost return code, activate trap on error
-			wait $vhost_pid
+			while kill -0 $vhost_pid; do
+				echo "."
+			done
 		fi
 	elif /bin/kill -0 $vhost_pid; then
 		error "vhost NOT killed - you need to kill it manually"
@@ -294,9 +295,12 @@ function vm_create_ssh_config()
 		echo "  UserKnownHostsFile=/dev/null"
 		echo "  StrictHostKeyChecking=no"
 		echo "  User root"
-		echo "  ControlPath=$VM_BASE_DIR/%r@%h:%p.ssh"
+		echo "  ControlPath=/tmp/%r@%h:%p.ssh"
 		echo ""
 		) > $ssh_config
+		# Control path created at /tmp because of live migration test case 3.
+		# In case of using sshfs share for the test - control path cannot be
+		# on share because remote server will fail on ssh commands.
 	fi
 }
 
diff --git a/test/vhost/migration/autotest.config b/test/vhost/migration/autotest.config
new file mode 100644
index 000000000..a86f7a2f9
--- /dev/null
+++ b/test/vhost/migration/autotest.config
@@ -0,0 +1,14 @@
+vhost_0_reactor_mask=0x1
+vhost_0_master_core=0
+
+vhost_1_reactor_mask=0x1
+vhost_1_master_core=0
+
+VM_0_qemu_mask=0x1
+VM_0_qemu_numa_node=0
+
+VM_1_qemu_mask=0x1
+VM_1_qemu_numa_node=0
+
+VM_2_qemu_mask=0x1
+VM_2_qemu_numa_node=0
diff --git a/test/vhost/migration/migration-tc3.job b/test/vhost/migration/migration-tc3.job
new file mode 100644
index 000000000..fe1929662
--- /dev/null
+++ b/test/vhost/migration/migration-tc3.job
@@ -0,0 +1,20 @@
+[global]
+blocksize=4k-512k
+iodepth=128
+ioengine=libaio
+filename=
+group_reporting
+thread
+numjobs=1
+direct=1
+do_verify=1
+verify=md5
+verify_fatal=1
+verify_dump=1
+verify_backlog=8
+
+[randwrite]
+rw=randwrite
+runtime=15
+time_based
+stonewall
diff --git a/test/vhost/migration/migration-tc3a.sh b/test/vhost/migration/migration-tc3a.sh
new file mode 100644
index 000000000..77dc56222
--- /dev/null
+++ b/test/vhost/migration/migration-tc3a.sh
@@ -0,0 +1,206 @@
+source $SPDK_BUILD_DIR/test/nvmf/common.sh
+source $BASE_DIR/autotest.config
+
+MGMT_TARGET_IP="10.102.17.181"
+MGMT_INITIATOR_IP="10.102.17.180"
+RDMA_TARGET_IP="10.0.0.1"
+RDMA_INITIATOR_IP="10.0.0.2"
+incoming_vm=1
+target_vm=2
+incoming_vm_ctrlr=naa.VhostScsi0.$incoming_vm
+target_vm_ctrlr=naa.VhostScsi0.$target_vm
+share_dir=$TEST_DIR/share
+job_file=$BASE_DIR/migration-tc3.job
+
+function ssh_remote()
+{
+	local ssh_cmd="ssh -i $SPDK_VHOST_SSH_KEY_FILE \
+		-o UserKnownHostsFile=/dev/null \
+		-o StrictHostKeyChecking=no -o ControlMaster=auto \
+		root@$1"
+
+	shift
+	$ssh_cmd "$@"
+}
+
+function wait_for_remote()
+{
+	local timeout=40
+	set +x
+	while [[ ! -f $share_dir/DONE ]]; do
+		echo -n "."
+		if (( timeout-- == 0 )); then
+			error "timeout while waiting for FIO!"
+		fi
+		sleep 1
+	done
+	set -x
+	rm -f $share_dir/DONE
+}
+
+function check_rdma_connection()
+{
+	local nic_name=$(ip -4 -o addr show to $RDMA_TARGET_IP up | cut -d' ' -f2)
+	if [[ -z $nic_name ]]; then
+		error "There is no NIC with IP address $RDMA_TARGET_IP configured"
+	fi
+
+	if ! ls /sys/class/infiniband/*/device/net/$nic_name &> /dev/null; then
+		error "$nic_name with IP $RDMA_TARGET_IP is not a RDMA capable NIC"
+	fi
+
+}
+
+function host1_cleanup_nvmf()
+{
+	notice "Shutting down nvmf_tgt on local server"
+	if [[ ! -z "$1" ]]; then
+		pkill --signal $1 -F $nvmf_dir/nvmf_tgt.pid
+	else
+		pkill -F $nvmf_dir/nvmf_tgt.pid
+	fi
+	rm -f $nvmf_dir/nvmf_tgt.pid
+}
+
+function host1_cleanup_vhost()
+{
+	trap 'host1_cleanup_nvmf SIGKILL; error_exit "${FUNCNAME}" "${LINENO}"' INT ERR EXIT
+	notice "Shutting down VM $incoming_vm"
+	vm_kill $incoming_vm
+
+	notice "Removing bdev & controller from vhost on local server"
+	$rpc_0 delete_bdev Nvme0n1
+	$rpc_0 remove_vhost_controller $incoming_vm_ctrlr
+
+	notice "Shutting down vhost app"
+	spdk_vhost_kill 0
+
+	host1_cleanup_nvmf
+}
+
+function host1_start_nvmf()
+{
+	nvmf_dir="$TEST_DIR/nvmf_tgt"
+	rpc_nvmf="python $SPDK_BUILD_DIR/scripts/rpc.py -s $nvmf_dir/nvmf_rpc.sock"
+
+	notice "Starting nvmf_tgt instance on local server"
+	mkdir -p $nvmf_dir
+	rm -rf $nvmf_dir/*
+
+	cp $SPDK_BUILD_DIR/test/nvmf/nvmf.conf $nvmf_dir/nvmf.conf
+	$SPDK_BUILD_DIR/scripts/gen_nvme.sh >> $nvmf_dir/nvmf.conf
+
+	trap 'host1_cleanup_nvmf SIGKILL; error_exit "${FUNCNAME}" "${LINENO}"' INT ERR EXIT
+	$SPDK_BUILD_DIR/app/nvmf_tgt/nvmf_tgt -s 512 -c $nvmf_dir/nvmf.conf -r $nvmf_dir/nvmf_rpc.sock &
+	nvmf_tgt_pid=$!
+	echo $nvmf_tgt_pid > $nvmf_dir/nvmf_tgt.pid
+	waitforlisten "$nvmf_tgt_pid" "$nvmf_dir/nvmf_rpc.sock"
+
+	$rpc_nvmf construct_nvmf_subsystem nqn.2018-02.io.spdk:cnode1 \
+		"trtype:RDMA traddr:$RDMA_TARGET_IP trsvcid:4420" "" -a -s SPDK01 -n Nvme0n1
+}
+
+function host1_start_vhost()
+{
+	rpc_0="python $SPDK_BUILD_DIR/scripts/rpc.py -s $(get_vhost_dir 0)/rpc.sock"
+
+	notice "Starting vhost0 instance on local server"
+	trap 'host1_cleanup_vhost; error_exit "${FUNCNAME}" "${LINENO}"' INT ERR EXIT
+	spdk_vhost_run --conf-path=$BASE_DIR --vhost-num=0
+	$rpc_0 construct_nvme_bdev -b Nvme0 -t rdma -f ipv4 -a $RDMA_TARGET_IP -s 4420 -n "nqn.2018-02.io.spdk:cnode1"
+	$rpc_0 construct_vhost_scsi_controller $incoming_vm_ctrlr
+	$rpc_0 add_vhost_scsi_lun $incoming_vm_ctrlr 0 Nvme0n1
+
+	vm_setup --os="$share_dir/migration.qcow2" --force=$incoming_vm --disk-type=spdk_vhost_scsi --disks=VhostScsi0 \
+		--migrate-to=$target_vm --memory=512 --queue_num=1
+
+	# TODO: Fix loop calculating cpu_num in common.sh
+	# We need -smp 1 and -queue_num 1 for this test to work, and this loop
+	# in some cases calculates wrong cpu_num.
+	sed -i "s#smp 2#smp 1#g" $VM_BASE_DIR/$incoming_vm/run.sh
+	vm_run $incoming_vm
+	vm_wait_for_boot 300 $incoming_vm
+}
+
+function cleanup_share()
+{
+	set +e
+	notice "Cleaning up share directory on remote and local server"
+	ssh_remote $MGMT_INITIATOR_IP "umount $VM_BASE_DIR"
+	ssh_remote $MGMT_INITIATOR_IP "umount $share_dir; rm -f $share_dir/*"
+	rm -f $share_dir/migration.qcow2
+	rm -f $share_dir/spdk.tar.gz
+	set -e
+}
+
+function host_1_create_share()
+{
+	notice "Creating share directory on local server to re-use on remote"
+	mkdir -p $share_dir
+	mkdir -p $VM_BASE_DIR # This dir would've been created later but we need it now
+	rm -rf $share_dir/spdk.tar.gz $share_dir/spdk || true
+	cp $os_image $share_dir/migration.qcow2
+	tar --exclude="*.o"--exclude="*.d" --exclude="*.git" -C $SPDK_BUILD_DIR -zcf $share_dir/spdk.tar.gz .
+}
+
+function host_2_create_share()
+{
+	# Copy & compile the sources for later use on remote server.
+	ssh_remote $MGMT_INITIATOR_IP "uname -a"
+	ssh_remote $MGMT_INITIATOR_IP "mkdir -p $share_dir"
+	ssh_remote $MGMT_INITIATOR_IP "mkdir -p $VM_BASE_DIR"
+	ssh_remote $MGMT_INITIATOR_IP "sshfs -o ssh_command=\"ssh -i $SPDK_VHOST_SSH_KEY_FILE\" root@$MGMT_TARGET_IP:$VM_BASE_DIR $VM_BASE_DIR"
+	ssh_remote $MGMT_INITIATOR_IP "sshfs -o ssh_command=\"ssh -i $SPDK_VHOST_SSH_KEY_FILE\" root@$MGMT_TARGET_IP:$share_dir $share_dir"
+	ssh_remote $MGMT_INITIATOR_IP "mkdir -p $share_dir/spdk"
+	ssh_remote $MGMT_INITIATOR_IP "tar -zxf $share_dir/spdk.tar.gz -C $share_dir/spdk --strip-components=1"
+	ssh_remote $MGMT_INITIATOR_IP "cd $share_dir/spdk; make clean; ./configure --with-rdma --enable-debug; make -j40"
+}
+
+function host_2_start_vhost()
+{
+	ssh_remote $MGMT_INITIATOR_IP "nohup $share_dir/spdk/test/vhost/migration/migration.sh --test-cases=3b --work-dir=$TEST_DIR --os=$share_dir/migration.qcow2 &>$share_dir/output.log &"
+	notice "Waiting for remote to be done with vhost & VM setup..."
+	wait_for_remote
+}
+
+function setup_share()
+{
+	trap 'cleanup_share; error_exit "${FUNCNAME}" "${LINENO}"' INT ERR EXIT
+	host_1_create_share
+	host_2_create_share
+}
+
+function migration_tc3()
+{
+	check_rdma_connection
+	setup_share
+	host1_start_nvmf
+	host1_start_vhost
+	host_2_start_vhost
+
+	# Do migration
+	notice "Starting fio on local VM"
+	vm_check_scsi_location $incoming_vm
+
+	run_fio $fio_bin --job-file="$job_file" --local --vm="${incoming_vm}$(printf ':/dev/%s' $SCSI_DISK)"
+	sleep 5
+
+	if ! is_fio_running $incoming_vm; then
+		vh_ssh $incoming_vm "cat /root/$(basename ${job_file}).out"
+		error "Fio not running on local VM before starting migration!"
+	fi
+
+	vm_migrate $incoming_vm $RDMA_INITIATOR_IP
+	sleep 1
+
+	# Verify migration on remote host and clean up vhost
+	ssh_remote $MGMT_INITIATOR_IP "pkill -CONT -F $TEST_DIR/tc3b.pid"
+	notice "Waiting for remote to finish FIO on VM and clean up..."
+	wait_for_remote
+
+	# Clean up local stuff
+	host1_cleanup_vhost
+	cleanup_share
+}
+
+migration_tc3
diff --git a/test/vhost/migration/migration-tc3b.sh b/test/vhost/migration/migration-tc3b.sh
new file mode 100755
index 000000000..79e21c541
--- /dev/null
+++ b/test/vhost/migration/migration-tc3b.sh
@@ -0,0 +1,80 @@
+# Set -m option is needed to be able to use "suspend" command
+# as we are usin non-interactive session to connect to remote.
+# Without -m it would be not possible to suspend the process.
+set -m
+source $BASE_DIR/autotest.config
+
+RDMA_TARGET_IP="10.0.0.1"
+incoming_vm=1
+target_vm=2
+target_vm_ctrl=naa.VhostScsi0.$target_vm
+rpc="python $SPDK_BUILD_DIR/scripts/rpc.py -s $(get_vhost_dir 1)/rpc.sock"
+share_dir=$TEST_DIR/share
+
+function host_2_cleanup_vhost()
+{
+	notice "Shutting down VM $target_vm"
+	vm_kill $target_vm
+
+	notice "Removing bdev & controller from vhost 1 on remote server"
+	$rpc delete_bdev Nvme0n1
+	$rpc remove_vhost_controller $target_vm_ctrl
+
+	notice "Shutting down vhost app"
+	spdk_vhost_kill 1
+	sleep 1
+}
+
+function host_2_start_vhost()
+{
+	echo "BASE DIR $TEST_DIR"
+	vhost_work_dir=$TEST_DIR/vhost1
+	mkdir -p $vhost_work_dir
+	rm -f $vhost_work_dir/*
+
+	notice "Starting vhost 1 instance on remote server"
+	trap 'host_2_cleanup_vhost; error_exit "${FUNCNAME}" "${LINENO}"' INT ERR EXIT
+	spdk_vhost_run --conf-path=$BASE_DIR --vhost-num=1
+
+	$rpc construct_nvme_bdev -b Nvme0 -t rdma -f ipv4 -a $RDMA_TARGET_IP -s 4420 -n "nqn.2018-02.io.spdk:cnode1"
+	$rpc construct_vhost_scsi_controller $target_vm_ctrl
+	$rpc add_vhost_scsi_lun $target_vm_ctrl 0 Nvme0n1
+
+	vm_setup --os="$os_image" --force=$target_vm --disk-type=spdk_vhost_scsi --disks=VhostScsi0 \
+		--memory=512 --vhost-num=1 --incoming=$incoming_vm
+	vm_run $target_vm
+	sleep 1
+
+	# Use this file as a flag to notify main script
+	# that setup on remote server is done
+	echo "DONE" > $share_dir/DONE
+}
+
+echo $$ > $TEST_DIR/tc3b.pid
+host_2_start_vhost
+suspend -f
+
+if ! vm_os_booted $target_vm; then
+	fail "VM$target_vm is not running!"
+fi
+
+if ! is_fio_running $target_vm; then
+	vm_ssh $target_vm "cat /root/migration-tc3.job.out"
+	error "FIO is not running on remote server after migration!"
+fi
+
+notice "Waiting for FIO to finish on remote server VM"
+timeout=40
+while is_fio_running $target_vm; do
+	sleep 1
+	echo -n "."
+	if (( timeout-- == 0 )); then
+		error "timeout while waiting for FIO!"
+	fi
+done
+
+notice "FIO result after migration:"
+vm_ssh $target_vm "cat /root/migration-tc3.job.out"
+
+host_2_cleanup_vhost
+echo "DONE" > $share_dir/DONE
diff --git a/test/vhost/migration/migration.sh b/test/vhost/migration/migration.sh
index 719625c05..5fb8cdd00 100755
--- a/test/vhost/migration/migration.sh
+++ b/test/vhost/migration/migration.sh
@@ -70,6 +70,11 @@ function vm_migrate()
 	local target_vm_dir="$(readlink -e $from_vm_dir/vm_migrate_to)"
 	local target_vm="$(basename $target_vm_dir)"
 	local target_vm_migration_port="$(cat $target_vm_dir/migration_port)"
+	if [[ -n "$2" ]]; then
+		local target_ip=$2
+	else
+		local target_ip="127.0.0.1"
+	fi
 
 	# Sanity check if target VM (QEMU) is configured to accept source VM (QEMU) migration
 	if [[ "$(readlink -e ${target_vm_dir}/vm_incoming)" != "$(readlink -e ${from_vm_dir})" ]]; then
@@ -80,7 +85,7 @@ function vm_migrate()
 	notice "Migrating VM $1 to VM "$(basename $target_vm_dir)
 	echo -e \
 		"migrate_set_speed 1g\n" \
-		"migrate tcp:127.0.0.1:$target_vm_migration_port\n" \
+		"migrate tcp:$target_ip:$target_vm_migration_port\n" \
 		"info migrate\n" \
 		"quit" | vm_monitor_send $1 "$from_vm_dir/migration_result"
 
@@ -90,9 +95,14 @@ function vm_migrate()
 		fail "Migration failed:\n"
 	fi
 
-	if ! vm_os_booted $target_vm; then
-		fail "VM$target_vm is not running"
-		cat $target_vm $target_vm_dir/cont_result
+	# Don't perform the following check if target VM is on remote server
+	# as we won't have access to it.
+	# If you need this check then perform it on your own.
+	if [[ "$target_ip" == "127.0.0.1" ]]; then
+		if ! vm_os_booted $target_vm; then
+			fail "VM$target_vm is not running"
+			cat $target_vm $target_vm_dir/cont_result
+		fi
 	fi
 
 	notice "Migration complete"
@@ -114,9 +124,6 @@ function is_fio_running()
 	return $ret
 }
 
-# FIXME: this shoul'd not be needed
-vm_kill_all
-
 for test_case in ${test_cases//,/ }; do
 	assert_number "$test_case"
 	notice "==============================="