Down Payment on a House Hack Using FHA Loan

[Carlos Licon]

I am currently looking at a Fourplex to house hack, I am planning to live in one unit and rent the others. Therefore, I plan on using an owner-occupied FHA Loan. However, I was speaking to some lenders and they are saying that I could only put 3.5% down on a Single Family or Duplex. That if the property is 3 or 4 units I need to put 25% down. Can anybody please verify this information?

I currently live in Albuquerque NM, and does anybody know a good lender?

[Stephanie P.]

@Carlos Licon

You ran into a lender with an "overlay".  It's additional underwriting protection created by the lender that's over and above what's required by Fannie Mae/Freddie Mac.

Shop around and you'll get some better answers.

Stephanie