Turning a church into a 8unit apartment

[Austin Eilers]

Hello I'm new to investing and have come across this beautiful vacant church with 11,000sq ft that would be perfect for turning into apartments with 100,000 dollars or more of rehab bringing the deal to about 350,000 after purchasing it and getting it rentable. My question is can I use an 3% FHA loan to finance this deal or am I missing something?

[Mackenzie Grate]

Quote from @Austin Eilers:

I should have mentioned I plan on living in one of the units would that make a difference?

With FHA loans you have to live in it, but they also inspect the property to make sure it is in a livable/ safe condition before. They usually have their own set of inspectors that come out and make a list of certain things that need to be repaired for closing. Based on what you shared, I'm not sure the property would be considered "livable" by their standards. Unless there is a section of the church that is already set up where perhaps the head of the church or nuns used to live...

Call your lender and ask before you invest too much time. I'm sure it would qualify for other types of loans though. So if it's a deal, keep going. Someone will lend on it if it's a great investment and the numbers work!

Good luck!