Meter Requirements for FHA Duplex?

[Keith Mikkelson]

I'm under contract for a duplex that is everything I'm looking for, but my real estate agent and I are somehow just realizing it only has 1 electric/water/gas meter for the two units.

My real estate agent is firmly under the impression that FHA 3-4 unit multi-families require separate metering (I'm also unable to confirm on this front) but she is unsure about duplexes.

Is separate metering a legal requirement to purchase a duplex with an FHA loan? Anything you guys can do to provide some insight or point me in the right direction would be greatly appreciated!

Thanks,

Keith

[Paul De Luca]

Quote from @Keith Mikkelson:

I'm under contract for a duplex that is everything I'm looking for, but my real estate agent and I are somehow just realizing it only has 1 electric/water/gas meter for the two units.

My real estate agent is firmly under the impression that FHA 3-4 unit multi-families require separate metering (I'm also unable to confirm on this front) but she is unsure about duplexes.

Is separate metering a legal requirement to purchase a duplex with an FHA loan? Anything you guys can do to provide some insight or point me in the right direction would be greatly appreciated!

Thanks,

Keith

 To me the meter situation indicates that the property may be zoned as a single family home. Ask your agent to check the public records and see if the listing agent/seller can confirm the zoning status. The zoning status may affect your ability to qualify for the property since if it's a duplex then the rental income from the unit(s) would be taken into consideration to help you qualify. 

I don't think separate metering is a legal requirement to purchase a duplex with an FHA loan because 1) FHA loans can be used to purchase 1-4 unit properties and 2) buyers in my market routinely buy properties that have a shared electric and gas utilities. This is not legal advice and I don't know your market though.