NEED LENDER FHA - Triplex - Self-Sufficiency

[Hugo Camberos]

Hello BP,

I'm currently in a tough bind. I am looking for a lender that could save my deal. This is my first multi unit property and I am looking to house hack. I have the credit and great employment. I found a good Triplex in Fresno Ca. Found a lender through a reference who would finance me, FHA 3.5% down. Long story short, they didn't turn out to be as knowledgeable as they should've been. I ran circles with them until we passed escrow time limit, then it went sour after the SELF-SUFFICIENCY test didn't go through. I blame myself as well for not doing all of my homework, but here I am.

The property went sour after the SELF-SUFFICIENCY test did not pass. For those that don't know, if you buy a triplex or fourplex (ONLY applies to 3-unit and 4-unit) under FHA the property must have strong income compared to the monthly expenses. BP has very conservative numbers on spreadsheet. My numbers looked ok, being my first property and anxious I jumped in. I wasn't aware of this rule until it was too late and lender did not go over this while shopping for properties. Now I'm scrambling trying to find a lender to help before I lose escrow money. For those knowledgeable on this rule the ratio should not exceed 100%, currently my deal exceeds by 8.2% so 108.2%.... very small margin. I believe everything is negotiable, perhaps a bit higher interest, a bit larger down payment, I'll take anything at this point if this can work.

Here are the numbers:

Price of Property: $248,000

Down Payment: 3.5% (willing to go 4% if this makes it work) 

Credit above 680

Taxes: about 1% in Fresno so $2500/yr

HOA: this is the kicker, $577/month

Insurance: $753/yr

Property Monthly Income: $2800 based on appraisal, subtract 25% of market rents (FHA Rule) = $2,100 Total rental income

Has this happened to someone before? How was it resolved? Anything else I should consider?

If these numbers look like you can make them work, please send me a message and I can follow up with additional paperwork.

Just when you think you do your homework, something always comes up...sometimes the education can be pretty expensive...

Thank You BP!