FHA Down Payment on Multi-family

Asked by Wayne, Lehighton, PA Sun Jul 15, 2012

We are looking at a property in PA, we would like some information on FHA financing. The property has a main farmhouse and a three bedroom apartment of a large garage. We intend to live in the apartment and rent the farm house. Does the 3.5% down payment still apply and will they consider the income from teh rental farmhouse/

Help the community by answering this question:

+ web reference
Web reference:


Moy Lopez, Mortgage Broker Or Lender, Quincy, MA
Sat Jun 1, 2013
Yes, as long as the property is a legal two family, The FHA minimum down payment of 3.5% still applies and yes they will consider the rental income of the second unit. Not sure if they wil consider the income of the farmhouse or the apartment. Underwriters usually have you occupting the "main" unit.

It sounds ike these two units are not attached. The appraiser will then need to find comprable sales to show that having two detached dwellings in one lot is acceptable for the area. If this becomes an issue and the two buildings are close enough, you might be able to use a FHA 203K loan to attach these units by building a common deck or breezeway or garage.

Good luck.
0 votes
Mario Pavli, Agent, Boston, MA
Mon Jul 16, 2012
Yes they would. FHA down payment is only 3.5% but you can always put more $$ if you can.
0 votes
Ingrid Johns…, Agent, Brockotn, MA
Sun Jul 15, 2012
Yes Gluck.. First Time Home Buyer. Don't forget to roll in some closings cost. Check property condition that's important. Or you looking at a FHA 203k. Check out the HUD web site.,once again Gluck
0 votes
Richard Shap…, , Framingham, MA
Sun Jul 15, 2012
FHA down payment is 3.5%.
0 votes
Search Advice
Ask our community a question

Email me when…

Learn more