4plex down payment options

9 Replies

Hi BP! If I want to buy a 4plex using a conventional loan, what would the down payment be? 20%? Or can you find something lower?

you can do 20%.  I recently did a loan for a borrower with a 20% down conventional

@Carlos Caloca - we put 20% Dow on the first four properties and now the banks want 25-30% but I believe 20% will do the trick on the first few deals. Good Luck 👍🏻

I bought 2 x fourplexes earlier this year with conventional 30y fixed loans. Chase made me put 25% down because I told them it was an investment property. But if I was moving into one of the units as my primary residence I could put 20% down. It depends on the lender and the type of loan.

Good luck!


Hi Joel - this is correct and this a Fannie Mae and Freddie Mac guideline.  Not a lender guideline. 

Thanks for the replies guys! So is there another way to get a 2-4 unit with a lower down payment other than FHA?

25% down payment  2-4 units for investment property. 

Hi Carlos - With a conventional lender, you will be looking at 25% down for an investment property. You can go the private lender route, which sometimes will allow close to 90% of purchase price for financing. There are creative financing solutions based on what goals you are trying to accomplish. 

I've heard Credit Unions offer lower downpayment options

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