FHA increases multi unit limits for 2021!

[Henry Lazerow]

New limits. These go in affect after Jan 1. The biggest change is to 4 units which are my personal favorite type of building for cashflow and house hacking. The self sufficiency test still applies to 3/4 units but many 4 units can pass easily in Chicago. The self sufficiency test is not applicable to 1 or 2 unit buildings. 

1 unit was $368,000 now $379,500

2 unit was $471,100 now $485,800

3 unit was $569,450 now $587,250

4 unit was $707,700 now $729,800

[Nate Grabner]

@Jaron Walling 75% of the rental income from the legal units need to be greater than the PITI of the property, so that when you move out the building is "self sufficient". So if youre looking at a 4-plex where every unit rents for $1000, your monthly expenses can't exceed $3000