How to Buy Second Multifamily?

Question

I have been househacking a duplex I bought with a conventional loan, for the past six months. I am preparing to purchase a second property but I am not sure how to go about it. Any suggestions on how to go about financing my next property? Or advice on what to look out for?

Nathan Gesner · Answer

Finance it the same way you did the first one. Get an owner-occupied loan and move into it.

Chris C. · Answer

one of the questions i've ran into is "why are you moving"  so if youre moving from one duplex, to a duplex down the street (same sqft, same everything) be prepared to have some eyebrows raised.  I don't know if this actually affects your loan or not.

Nathan Gesner · Answer

If you meet the requirements of your loan, you can house hack a second Property, then a third and fourth! As long as you owner occupy, you can keep the down payment low.

Juwan T Hubbard · Answer

Thanks for your help guys @Nathan G.@Chris Connolly. But would there be any red tape since I already have one mortgage? And wouldn't this effect how much a lender will be willing to loan me (due to my debt-to-income ratio)?

Sorry if these questions are kind of redundant. Thanks again!

Chris C. · Answer

I second this.  You currently live in a duplex, and are looking to buy a new duplex.  You should run your numbers the same (make sure to include management as you clearly plan to move out at some point)

How to Buy Second Multifamily?

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