If you qualify with both properties, you should be fine. There are a few options available if you'd like to only put 10% down. Rehab loans are not quite easy to do, and most likely, you'd have to go the FHA route again, but you wouldn't be able to as FHA allows only one loan per borrower unless it's a work relocation.
If you'd like to talk further, please let me know. I can be reached at the info below.
Senior Loan Officer
Chicago Financial Services
312-204-6556 - direct
312-608-1555 - mobile
As a buyer's agent, I work with a lot of owner occupants of multi-units in Chicago, especially near your 'hood. And sometimes they want a single family, or want to leave their multi-unit, usually due to a nagging wife, and go single family. Hey, it happened to me too....
So, you can buy a single family all day for 5% down. Fannie conventional. Or 10% or any other configuration you choose over that 5. As for the rehab loan, you're only option, that is easily obtainable, would be a Fannie Mae HomePath property offering a HomePath Renovation loan. They are great loans and are not FHA affiliated. So, here's what you do: just go to the Home Path website, look for properties with the HomePath Renovation logo (not all properties offer it) and bid away. Your Logan Square place will be a rental property, added to your debt to income ratio, but there are new requirements with this for landlords without longer rental history. A solid knowledgeable mortgage broker should help you around that.
Get yourself a good mortgage broker, a dedicated buyer's agent, and a decent real estate attorney. Rent out your unit and enjoy the end of the Green Line.
Contact Tracy Campagna with guaranteed Rate at 773-383-1405 or email her at tracy.Campagna@guaranteedrate.com. She is great and she will explain to you step by step what you need to do reach your goal. Tracy is amazing!
I always say let the experts in lending explain the ins and outs of lending.
Best of Luck,
Manuel Brown, Broker