Can I convert a 6-plex to 4-plex to get a loan easier?

[David S.]

Hey guys so there is a 6 plex for sale for a good price. I ran the numbers and they seem to work great. The problem is that from what I understand It is more difficult to get financing for a 6 plex because It requires commercial financing. Only 4 of the units are currently rented out.

Can I somehow work out a deal with the owner and have the bottom 2 units converted to storage for the sake of getting a loan?

Is this more complicated than just saying they are now storage? Would the records for property taxes create a problem?

I know for example that for a room to be considered a bedroom it must have a window and a closest. Could a few simple changes be made to to cause these units to be no longer considered livable (such as removing toilets or water fixtures). Then one the sale is complete convert them back into usable units?

Any advise would be much appreciated! Thanks!

Side note We have already been approved for financing well above the price of the property. I don't know if this would make a difference in the answers I would get from you guys. However my theory is that if it was that easy to get financing for a 4 plex maybe I am over reacting in regards to the need to make the changes.

[Ravi P.]

@David S. Your statement about Commercial Mortgages are harder to get is completely nonsense. I feel Comm. Loans are actually easier. Underwriters focus on the properties and cash flow. As long as the numbers look good, you should jot have a problem. Unless you are looking for a loan on a hotel or restaurant, which would require some experience in operations and management, you shouldn't have a problem. Even then, you can always hire a management company to address this rule.