Two Family Financing Options

2 Replies

I have recently had an offer accepted and was planning on using a home possible or home ready conventional loan with 5% down to finance a two family property. I learned that with this type of loan I will have to live in the property for the life of the loan or will have to refinance if I plan on moving out and keeping it as an investment property. Unfortunately FHA is not an option because of the exterior having peeling paint and a conventional loan is a more attractive option for the seller. I realize that an FHA 203k loan might be an option for me, but I am interested in finding out if there are any other 5,10, or 15% down options besides this that will allow me to move out in 1-2 years without having to refinance to keep the property. Any advise would be really appreciated!

I know of a pretty good loan company that allows you to do 10% down on a property without PMI. You will definitely have to live in the property for a year at least and have pretty good credit though. You're also welcome to PM me if you wish. I'd greatly appreciate it if you use my referral link. https://sofi.com/share/720167

Originally posted by @Raymond Lawton :
I have recently had an offer accepted and was planning on using a home possible or home ready conventional loan with 5% down to finance a two family property. I learned that with this type of loan I will have to live in the property for the life of the loan or will have to refinance if I plan on moving out and keeping it as an investment property. Unfortunately FHA is not an option because of the exterior having peeling paint and a conventional loan is a more attractive option for the seller.

I realize that an FHA 203k loan might be an option for me, but I am interested in finding out if there are any other 5,10, or 15% down options besides this that will allow me to move out in 1-2 years without having to refinance to keep the property. Any advise would be really appreciated!

Home Possible will do 95% LTV on a duplex. The standard occupancy promise, however, is just one year, not "life of the loan."

Create Lasting Wealth Through Real Estate

Join the millions of people achieving financial freedom through the power of real estate investing

Start here