Buying potential "boarding house"

[Andrew Votsis]

Looked at a home today that is operational rooming house. Lender says needs to be listed as 4 family at the most otherwise i will have trouble with financing. I am a qualified buyer standard 25% down etc. Any thoughts would be greatly appreciated. Thank you.

[Mike Buckley]

I manage a couple of them. Ya they are tough to get financed because they are considered risky. They also are less liquid because they are more of a hands on job than an investment. If there is any financing currently in place with the seller I would try and see if they would be interested in still financing the property. That is what we did on one of them and it appraised out. Hope it works out. Run correctly they are great assets.