Exciting news! 5% Down Payment on 1-4 Unit Conventional Loans!

[Paul Defngin]

Pretty exciting news now for those that are looking to house hack to build wealth, especially for those looking to purchase 1-4 unit properties to live in one unit and rent out the others.

For sometime now, if you were looking to purchase a 1-4 unit; you would have to put down 15%-25%, in some cases. Effective November 15, you could (certain restrictions still apply) now buy a 1-4 unit property and put down a minimum of 5%. While 1-4 multi-units is pretty hard to find; this new policy for a conventional loan makes it another alternative to the 3.50% FHA financing option.

[Wayne Brooks]

Originally posted by @Curt Davis:

If someone was going to live in one unit as their primary, they have always been able to do FHA 3.5% or 5% down conventional loans.  The only time someone would have to do 20% down is if they were not occupying a unit.

Nope….5% down conventional is for SFR only. 2 units OO is 15% and 3-4 units OO is 25%.