Financing a 6 unit multi-family.

[Joshua Martin]

Hey gang, 

  Was hoping for a little advice with this subject. I've been practicing deal analysis and scouting a 4 unit multi-family to house hack sometime in the next few months, and had talked to a lender just to start a conversation about where I'm at and financing and all that. In any case, what I came across yesterday was an interesting property: asking 80,000 right on the edge of Washington Park in Milwaukee, not the most desirable area, but not bad either, with new signs of life and homeowners buying for the great value. This particular property was listed ambiguously on zillow as a 4 unit, but then digging around and google street maps revealed that it is in fact a 6 unit property, on a standard city lot, a 4 unit up front and a duplex perpendicular to it right behind it. Really a beautiful property with the 4 family in great shape and rented and the duplex needing renovation (I'd live there and do that).

So my question is this: can you attain residential financing, like an FHA, for a property like this? Will certain lenders do it? Or in virtue of 6 units (only 4 of which are functional), is it simply commercial property? I can't remember what thread I read it on but I thought I saw someone say that they got a conventional loan on a similar property. Really I just want to know if they bank or lender will laugh at me?

  Anyways, still pulling hard numbers for my analysis, but I'll post that when I get there.

Thanks in advance.

JTM