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Jake Milk.
  • Investor
  • New York City, NY
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Can't close - not enough owner occupied units in the building

Jake Milk.
  • Investor
  • New York City, NY
Posted

Hey guys, I was just notified by the bank (wells Fargo), that they can't approve the mortgage as the building (coop) didn't pass the review. They say there are not enough owner occupied units (40 units in total, 20 are owner occupied, 14 are rented out by individuals, 6 are rented out by sponsor). They are saying it should be at least 51% percent owner occupied units.

Is it a problem for all the banks? Are there banks which are more tolerant to less owner occupied units?

Thanks for suggestions.

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