USDA then FHA Financing?

[David Wicks]

Hello everybody. So, I purchased a my first home (house hacking by the room) with USDA financing in July of last year. I am coming up on 1 year of occupancy and I want to use favorable financing to purchase a multifamily househack next (preferably a duplex, or triplex) My question is can I qualify for FHA owner occupied financing on my next purchase. I know there are rules surrounding having more than one FHA loan, but what about when you have USDA financing? Is it permitted? I look forward to hearing from you guys. Thanks

[Chace Fraser]

Awesome work @David Wicks! The lending aspect of house hacking is crucial to get right. To my understanding you should be able to get the FHA loan since you don't already have one in your name. However, your DTI maybe a little out of wack if you didn't claim the income from the other rooms as rental income on your taxes for 2020. You need to speak to a lender who is also either an investor and/or preferable has worked with many house hackers. Lenders aren't all the same. If it's possible you might look into a low down conventional product (my wife and I used a 5 percent down conventional loan for our duplex) and that way you will STILL have your FHA available for your next purchase.

Do some networking around here and find 2-3 lenders to speak with and best of luck!