Living in your own 5+ unit property

4 Replies

This could be an extremely novice question, but my wife an I are living in the Bay Area and looking to buy a home. Both of us have wanted to invest in Multi-Family unites and thought this might be a great time to invest, especially if we can live in one of the unites. 

This is where my questions is, would we be able to purchase a 5+ unit property on a commercial loan and live on the property? I am not sure if this is enough info, but it is my first question on there!

Yes, you CAN live there, but you won't qualify for an owner-occ residential mortgage like you would if it was 4 units or less.

I like the idea though. Just know you will be dealing with at least a 25% DP, a higher & adjustable rate, shorter term that's callable every 5 years and they will bother you every year to report your finances to them.

Sure you don't wanna buy a quad instead??

I’ve considered doing this.

As long as I can get an owner occupied loan and I’m not spending to much of my money down on that I’ll buy 2-4 and live in it.

Originally posted by @Steve Vaughan :

Yes, you CAN live there, but you won't qualify for an owner-occ residential mortgage like you would if it was 4 units or less.

I like the idea though. Just know you will be dealing with at least a 25% DP, a higher & adjustable rate, shorter term that's callable every 5 years and they will bother you every year to report your finances to them.

Sure you don't wanna buy a quad instead??

Buy a Quad that can become 5-units ;-)

Join the Largest Real Estate Investing Community

Basic membership is free, forever.

By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.