How to buy a property with 2 "houses" on it?

2 Replies

Ok, I'm going to re-post this with different wording as apparently @JohnHoldman felt it was an advertisement instead of asking for advice. This was not my intention, I'm purely looking for advice, which I believe this forum is for. But feel free to keep me honest John.

Let me start by saying I was excited to find this great deal. The structure of this property is that it has a duplex in the front of the property and a single family in the back. The only problem is that the back house is a legal non-conforming property. What this means to me is that it was build back when it was legal to have this single family home in addition to the duplex on the same lot. Under todays laws they wouldn't allow it to be built that way. It's "grandfathered" in and allowed to exist...hence the "legal non-conforming" but if it was ever destroyed, one would not be allowed to rebuild the back single family home.

Because of this a traditional lender won't touch it. Has anybody experienced anything like this and/or have any advice?



If you cannot obtain traditional financing you can attempt to use some of the following.

  • capital partners
  • loans from friends and family
  • lending tree
  • discover card personal loans (25k no closing costs, 8% interest)
  • Seller financing

Thanks @James Wise for the tips. I am exploring some local banks at the moment to see if they might be willing to do a portfolio loan. I could use a HELOC on my primary but it probably won't get me all the way. If I finish the local bank route and am unsuccesful I will try you advice on the seller financed route.

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