All Forum Posts by: Upen Patel

Hi! @Antonio H. If it is truly an owner occupied property then you should be able to do low down payment FHA (3.5%) or Freddie (5%). But both those programs do have requirements that you need to meet. It might be that you situation will not allow you to fit into either of those programs, in which case you would have to do 20% Freddie.

Hey! @Russell Brazil Thanks for the mention.

@Stan Hailes FHA 203(k) is for owner occupied purchase only. You are saying that you are an experienced investor, so want to be sure you are looking to buy as owner occupied. Also being that you are looking at an FHA loan, there is other requirements to keep in mind if you are going to be moving from a current primary residence to the new one and keep the current (make it into a rental).

As Russel mentioned, the areas you are looking at, it will be hard to get a FHA 203(k) contract accepted. Not impossible, but hard. You want a good realtor. I would suggest you speak with Russell.

@Joshua Kidwell You are not going to find a lender willing to do 3.5%-5% down on a multi-unit (2-4) new construction, even if you are going to owner occupy it.

Hi! @David Healey No way to change to loan terms once the loan is in place.

Even if you had told the lender to do it as in investment, they wouldn't have been able to since you lived there. It was your primary residence. So no fault of the old lender.

Your options are to wait the 12 months OR refi it again.

Hey! @Alina Trigub Thanks for the mention.

@Chris Pomerleau Agency small balance loans are great but they have very specific requirements (high occupancy, net worth, min loan amount, etc.)

@Glenn Hinojosa You can always buy close to you as investment and then there is no issue.

Hey! @Alina Trigub Thanks for the tag.

@Calvin Lipscomb Jr Welcome to BP. As Alina mentioned the lender doesn't need to be local to you and/or the property. The most important thing to look for in a lender is if they can support you now and into the future. What type of loan products to they have. How responsive they are.

You find the right lender and make them an integral part of your team.

Hey! @Josh Dillingham Thanks for the tag.

@Glenn Hinojosa Yes, that is correct. If the property you are moving out off, is less then 100 miles from the new one, then the rental income from the current primary residence can't be used. You will have to carry both. Further more, even if you would qualify by carrying both, you will have a hard time convincing the underwriter that you moving from a SFH to a multi-unit, in the same market, is anything but an investment purchase.

Hey! @Alina Trigub Thanks for the mention.

Hi! @Marcus Ethen This is a very personal question. Though with the rise in rates, I would recommend you buy an owner occupied multi-unit. You will get the benefit of an investment property and save on rent.

@Seth Williams Thanks for the mention.

@Ryan Fortier Generally speaking, commercial loans will not show-up on your credit report. Non-recourse will certainly not because the loan is only backed on the property. You are still a guarantor, because its always a non recourse with carve outs. Essentially what that means, is if you lied on the loan application and at a later date the bank figures that out, you are on the hook.

Having said that, you will have a hard time getting a non-recourse on a standard residential property (1-4 unit). Typically non-recourse is for commercial properties (5+ unit residential, office building, etc.)

Good luck.