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Updated almost 10 years ago on . Most recent reply

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Josh Kellum
  • Real Estate Investor
  • Winston Salem, NC
10
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39
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Do I REALLY have to owner occupy a multi family unit

Josh Kellum
  • Real Estate Investor
  • Winston Salem, NC
Posted

I'm interested in investing in a 2-3 unit residence. As I do not have the funds, I have been interested in applying for an FHA loan to purchase this. I am starting my own family and am currently locked into a 14 month lease (wife, newborn daughter, two large dogs) and would not want to live on the property. Could I use one unit as "an office space" for myself and rent out the remainder of the units to cover mortgage costs or do I literally have to occupy?

Any helpful feedback would be appreciative!

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Ryan Dossey
  • Real Estate Broker
  • Indianapolis, IN
2,426
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Ryan Dossey
  • Real Estate Broker
  • Indianapolis, IN
Replied

......I don't know that I would post on a public forum with my real name that I was considering mortgage fraud. 

Yes you do have to owner occupy. At closing you sign a document stating that it will be your primary residence and you will move in within 60 days or less. I don't see your office space idea panning out in your favor if you got called on the carpet. 

You could use your leased place as an office most likely.

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