Can I have two owner occupied mortgages?

Question

I bought my apartment and have been living in it for two years now. I am buying a home near which will be my new primary address but I am keeping the apartment.  Can I apply for an owner occupied rate mortgage on the house even though I already have an owner occupied mortgage on the apartment? Do I have to let my first mortgage lender know I am moving?

Bill B. · Answer

Change the insurance, not the loan. (either to rental or 2nd home that is vacant more than 30 days at a time.)
I currently have 4 mortgages that were all originally owner occupied loans to get the better rate and terms. live there for a year, move to a new home, and rent the previous property out.

Jennifer Bailey · Answer

Hi all.. I know this is an old post but have a question that piggy backs off this..

We are coming up on our 1 year in our home we bought with an owner occupany loan. We want to air bnb it. It's a very busy beach town. We want to get another loan doing the same thing but will our current mortgage count against our DTI of we don't have rental history yet? How do we get that to not count against our DTI?

Zack Karp · Answer

@Jennifer Guerrero if you purchased the first property using a primary residence mortgage, and lived there for 1 year, you have satisfied the occupancy terms of that mortgage.  You absolutely can get a mortgage on a new property as a primary residence, provided you will occupy the new property for 1 year.  You do not need to contact the lender and tell them you are doing anything, and you can absolutely keep the existing property as an investment property and rent it out.

Hope that helps and best of luck!

Nicholas Covington · Answer

@Jennifer Guerrero the answer is no. When you apply for a new mortgage we are only checking intent of occupancy for the property. Granted if you are doing s govt loan like VA, USDA, or FHA they do typically have a 1 year requirement. But there are certain exception to that. But no you do not have to contact your current lender for change in occupancy.

Jose Batista Abikarram · Answer

According to most banks the period for owner occupied is 1 year so as long as you have more than that in your current place you can do a new owner occupied deal. I would talk to the lender because they will know anyways since you are changing address. Also they might require different things from you as an investor instead of owner occupant but they cannot change terms of the loan. Remember that you want to be seen as a person who is good to invest with and banks appreciate good communication (as well as any investor or HML).

Can I have two owner occupied mortgages?

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