Question on Refinancing a Duplex

[Chaits J.]

Hello All,

I am in the process of buying a Single Family home off market which has a mother in law suite with a separate entrance that allows us to rent the home as 2 units once purchase & rehab is done. This will be my first BRRRR deal so trying to be prepared fore refinance phase in advance. When time comes for refinace, will this be considered as a multi family or single family home? ( Township has it zoned as Single family home).

Thanks all in advance.

[Whitney Hutten]

@Chaits J. If the zoning is single-family, I bet you will go with that.  Either way, it's under 4 units.  Did you purchase cash?  If so, you may be able to refinance out conventionally at 20% down as a single-family.  Otherwise, I believe it is 25% for multifamily conventionally.  My question, will you have issues with the city if you rent it out both sides?