Seller Financing/FHA Question

[Peter LeRoy]

Hey Everyone, brand new to real estate investing and excited to begin this journey. Thank you in advance for any advice or suggestions. Much appreciated. I am about to purchase a multi-family property here in Watertown, Ma. The market here, like most of the country, is on fire. So deals are pretty hard to come by. I found an off-market deal through a friend's uncle who wants to finance the deal for 12/mo. so he can figure out his 1031 exchange options. My wife and I have already been approved for an FHA, but having the seller hold paper would also help us avoid PMI and save us money. I feel it is a win for both parties. Both units are occupied at market rate, so we will use this solely as a rental property and have no plans to move into the property. We have enough money saved to purchase a second multi-family in the area for us to move into. My question: Can my wife and I still use or qualify for an FHA loan for our second property?

Best,

Peter