How to switch commercial property to residential

[Marc Thomas]

I have found a few great deals for the potential of a small MF but they are currently described as commercial. I would love some advice on how to go about getting this done. And how to present to the owner so it can be more enticing. The 1st floor is an office space; upstairs there is 3 large apartment. Is it possible to switch this from a commercial to residential? I would love to use an FHA to obtain these buildings but struggling how to go about doing so… Will the seller be less motivated because it isn't an regular traditional loan; does going in with an FHA deter the seller

[Joe Splitrock]

Quote from @Marc Thomas:

I have found a few great deals for the potential of a small MF but they are currently described as commercial. I would love some advice on how to go about getting this done. And how to present to the owner so it can be more enticing. The 1st floor is an office space; upstairs there is 3 large apartment. Is it possible to switch this from a commercial to residential? I would love to use an FHA to obtain these buildings but struggling how to go about doing so… Will the seller be less motivated because it isn't an regular traditional loan; does going in with an FHA deter the seller

You will not be able to acquire commercial mixed use with FHA. The seller would have to go through rezoning and renovation prior to you buying via FHA. Keep in mind that FHA buyers are already less desirable due to inspection and overall risk. I would look for a different source of funding or different type of property.