Building a 4-plex with an FHA loan

Multi-Family and Apartment Investing
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Building a 4-plex with an FHA loan

Jovan Dinnall
Orlando, FL · Member since 2016 · 43 posts · 12 votes
I am aware that you can us an FHA 203k Loan to purchase a property, however I would like to know if you could use an FHA 203k Loan to build a 4-Plex from scratch?
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  • Seth Williams
    Real Estate Broker · Winthrop, MA · Member since 2014 · 260 posts · 199 votes
    8y

    No, its a rehab loan only. You would have to get a construction loan to do this, and have the land etc no one is going to do it with 3.5 down, or take the risk. Way better off rehabbing for your first deals, but with FHA I would find something turn key.

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  • Seth Borman
    Rental Property Investor · Phoenix, AZ · Member since 2016 · 553 posts · 314 votes
    8y
    Look up the small builders and developers group on Facebook or google rjohnthebad to see how these deals get done.
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  • Jovan Dinnall
    OP
    Orlando, FL · Member since 2016 · 43 posts · 12 votes
    8y
    @Seth Williams @Seth Borman Thank You!
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  • Dawn Gawron
    Member since 2018 · 5 posts · 0 votes
    7y

    Hello Jovan, 

    I am trying to do the same thing in my area. I wanted to check in with you to see how you did this past year. Were you able to build that 4 unit? Contact me to give me the details and what you have learned. 

    Thanks Dawn

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