Financing a Duplex Fannie Mae - 20% down?

7 Replies

Hi all,

Just curious if anyone has experienced a lender that allows 20% (not 25%) downpayment on a small multi - 2-4 unit.

I did some searches but they seem to be 2 + years old so i was wondering if any of the underwriting rules have relaxed.

Thanks all

Bo

@Bo Kim - however, if you are planning to occupy one of the units, then your loan options expand. 3%, 5%, etc. Talk with you lenders to discover options. 

Thanks all - I am an OOS investor so cannot take advantage of those low 3-5% downs.

Looks like 25% is standard for FNME loans.

Do you HAVE to use Fannie Mae? I used a local bank who is a portfolio lender and they gave us 80% LTV on a cash out refi on our 3 unit property. Don’t force yourself into the Fannie Mae box of 25% down if you don’t need to.

Originally posted by @William C. :

Do you HAVE to use Fannie Mae? I used a local bank who is a portfolio lender and they gave us 80% LTV on a cash out refi on our 3 unit property. Don't force yourself into the Fannie Mae box of 25% down if you don't need to.

 Hey will,

I dont have to but they are typically the better terms. What terms are you seeing with the portfolio lender if you dont mind me asking (ballon, amort, downpayment on non cash out)

Thanks

Bo