Buying strategy with FHA

[Foster Lynch]

Hey BP!

After much searching, I believe I have found a multifamily that I would like to submit an offer on. The pinch is that because I am using FHA, even though its a "3 unit", it is only a legal 2 unit. This means that my max FHA loan amount is much lower than the asking price.

Additional details
asking price - 600K
max 2 unit FHA loan amount - 471k

total available cash for a down payment - 40k

this means even if the seller accepts an offer at 540K, I would need to find an additional 29k so that I can qualify for the FHA loan criteria.

what would you do in this situation? the third unit is a great unit, its just that the ceiling is too low to be legal.

Thanks for the help!