Minimum multi-family downpayment % through traditional lender

[James Piercy]

Hello Everyone,

I recently purchased my first duplex in Austin, Texas for $435k with 25% down.  I started my search over 8 months ago in Austin but with the competitive market it took many offers to close one.  When I started my search my broker told me I would need 20% down for a duplex and 25% for a fourplex.  By the time I was writing my offer she told me that it had now gone up to 25% down for duplex's and 30% for triplex and above.

I moved forward and purchased the duplex with around $110k down (25%).  I am looking for my second property but with 25% down minimum on all multi it becomes extremely difficult to continue to purchase.  I know there are creative lending strategies but with a traditional mortgage is it now the law to require 25% down or are there different lenders that will allow 20%?

Thank you!