5% mass housing vs 25%

[Brian Kosack]

Hi, my name is Brian and live in the Boston area. I am new and very excited to start this journey. I am currently trying to find the right small multi-family rental property. I am of course using the BP calculator. I am trying to understand and decide if using the Mass Housing 5% loan would be better than doing a conventional 25% down. My plan is to occupy briefly as I do not have a primary. Obviously the 5% would mean much less of my own $$ and increase mortgage and loan. Also obvious is the opposite for the conventional route. Using the calculator it is seemingly impossible to get the goal of good cash flow. Conventionally looking for 12+% COC. Am I missing something or just not finding the right deal? My goal is to have 2 properties in the next 2 years. Looking for small mil it’s only. Anyone possibly shed some light and offer insight on what is he better route and so on? Thanks and thrilled to get going.

[Steve Bracero]

@Brian Kosack

With owner occupied, you are able to go mass housing- so it is beneficial to go lmd on a prop - 

If you are able to post a deal, many investors can take a look and see how you are evaluating your property. 

Yes you are correct, you will have a larger mortgage etc with 5% down vs conventional