Duplex

[Anthony Gayden]

I am looking at buying a Duplex here in Omaha to owner occupy. I really like the Dundee area, but I haven't done a lot of research on it to see if it is a viable place to look. I did a quick glance on realtor.com, but there is very little multifamily on the MLS for Omaha and almost nothing in the areas I am looking.

I'm not sure about a few things. Obviously for the area that is considered Dundee, what would the boundaries be in each direction? I have seen many duplexes in the area on 50th street going south, how much are these renting for? How much are these properties selling for? Is there potential for price/rental appreciation in this area? It seems like there would be as it is a very nice area and somewhat near UNO. 

I plan on staying in the property long term if I buy, so the purchase is as much about me as it is about maybe one day renting out both units. I am working with a bank to get an FHA loan right now and my limit is about $200,000, so I am not sure if I have enough money for this neighborhood. I really want to buy something below that cost then use a 203K loan to fix it up and make it very nice.

[Kevin Fox]

Hey @Anthony Gayden

One thing to keep in mind is that, at least in California, the maximum loan amounts increase with the number of units and qualifying income increases with the total market rent of the property. 

So, if lending regulations are similar in your area (which I'd be surprised if they weren't), you have a slightly better shot at not being priced out of the area.