Can you buy Primary Residence (but tenants lease good thru July 2025)

[Butch Greene]

Still trying to find a house in Chapel Hill for our 2 UNC student daughters. Zero luck. 
Twice now, small homes that would be perfect have LEASES locked in through July 2025. Lender (One Brokerage from here on BiggerPockets) says we can't buy it as a primary residence if it's leased.
These leased properties would be perfect because July 2025 is when they would move in.
We DO NOT have 15-20% down for a commercial loan. 

Am I asking the wrong questions? Is there a way? Friend advised I could check to see if the leases have a cancellation clause upon sale that can be triggered, but no luck

[Kevin Sobilo]

@Butch Greene, your issue isn't about buying it at all. Your issue is about whether your financing option will allow it.

Typically any kind of conventional (fannie/freddie), FHA, VA, USDA type loan for a primary residence will require you to move into it within something like 3 months. If you aren't going to be able to do that because there is a pending lease then those loan options aren't appropriate because you are buying an investment not a primary residence at that point.

One suggestion would be to offer the seller a chunk of cash extra to offer the tenants a keys for cash option. For example, you offer the seller $5k extra if the seller can negotiate an early end to the lease and make the unit vacant for closing. The seller may be able to offer that tenant that $5k in exchange for them leaving now. Obviously, $5k is just an example but either way there needs to be an incentive for that tenant to give up their lease.