Financing two quads on shared large lot ???

Question

Hi all!

I've found a great, cash-flowing deal for two four-plexes that share a common lot. My main question is this:

Is there a way to finance the purchase of the two properties separately?

The seller will only sell them together. They share a center walk-way to the front doors of the units.

Ideally, I'd use an FHA to house-hack the only vacant unit in quad A, and put down 20% on quad B, which is fully occupied.

Any and all info and suggestions welcome!Thanks!

Lili

Blair Poelman · Answer

@Lili Thompson  FHA is probably not an option for you as they lend on multi's of 4 units and less.  Sounds like you've got an 8.

Corina Eufinger · Answer

It's unlikely you would be able to finance them separately.  Best place to start is to see if both properties have tax records.  If they have separate tax records its an indication that the municipality views them as a separate entity which would indicate the possibility to get separate financing.  If the municipality considers them as one for property tax purposes its' unlikely a lender would view it differently.  Especially because the a title search on one will likely cover both buildings as well if they are on one tax record.

Hope that makes sense.  In most lenders minds it's like asking them finance one half of a duplex...they view it as one if the property shares a tax record.