All Forum Posts by: Justin Brown

Can anyone recommend a good general contractor in the Raleigh Durham area? Im looking to take on a fairly large project.  I need roof, HVAC, kitchen, bathroom, flooring, electric, etc

Can someone refer me to a contractor in the Raleigh area that is willing to work on a property using an fha 203k loan?

I'm looking at buying a quad.  It currently has section 8 tenants.  Can I rent to non section 8 tenants?  I don't really want to keep it section 8. Do I have to fill out paper work to make it non section 8? any legal ramifications? 

would like to know what the college rental market is like. Pros and cons

Just wanted to hear some recent success stories in the

@Tony Nguyen that was very informative.  Thank you! 

@Harjeet Bhatti thanks for the post. I looked up Home Possible program. I will ask my lender if they can do that and he is also looking FHA guidelines

@Logan Allec

@logan allec fha is different than fannie/freddie loans? 

I have been talking to a few lenders and banks trying to get approved to buy a 2-4 unit complex as an owner occupant.  Can anyone shed some insight or advice on this subject. My understanding was that I could purchase a 2-4 unit as an owner occupant with 5-10% down.

This is what one of the lenders sent me:

Here are the FNMA-Fannie Mae guidelines for multi-unit properties

Purchase as Primary residence: this would be you.

• 2 unit: 15% Down
• 3-4 unit: 25% Down

***Even though this is going to be your primary residence, FNMA still requires the larger down payment.

***The other thing FNMA requires is 6 Mortgage reserves. These are additional funds in the bank to 6 months of mortgage payments after closing.

$300k x 25% = $75k + Funds needed to close + 6 months mortgage reserves…this is not an option for you at this time

Also, to offset the total monthly mortgage payment, there would need to be a current lease for each unit and only 75% of that monthly lease amount can be used. FNMA figures a 25% vacancy factor on all leases.

If you were to purchase a 2-4 unit as an Investment property, not lived in by you, this would require 25% Down.