Lowest down payment challenge

2 Replies

Hello ! Wanted to ask before I start calling looking for Financing. I currently have a conventional loan for 3% down . I plan on living in it for a year so I can rinse and repeat. In the meantime I’m ready to purchase a multi family unit. My question is can I get 3% down again ? Idk if I can use that multI as a secondary residence and live in that ? I’m also getting married at the end of the year and both of our names are on the deed but only 1 on the mortgage. Did I mess up by putting both names on the deed? Can I pull one of our names off and just do FHA 3 % down ? I can put up to 10% down but rather keep it near bottom. I’m buying into equity and want my monthly payment as low as possible for cash flow. Just wondering thoughts before I call my broker. Thanks cheers
@Ralph Dixon Is that current 3% down loan conventional or FHA? If it’s conventional, and you plan on buying the new multi-unit as a primary, then you can use FHA. If the current loan is FHA, then you’ll need to buy with a conventional loan (20%-25% down). Being on the deed doesn’t make you liable for debt. So if only one of you is on the current loan, then the other one could use FHA financing to buy the new property with 3.5% down. Hope that helps!
@Matthew Roder yea it was a conventional loan with 3% down. So if I go fha primary with my name on the loan it would be ok ? Then I can switch every year with a lIttle gap In between the 2 names for primary residence so I can continue with that 3% down or would it change once I get married ? Thanks for the help just thinking lower cash out of my pocket better ROI.