Multifamily FHA Self-Sufficiency Test Question

[Brandon Bell]

I am trying to close on a 4-unit multifamily property using FHA lending through Lender A. My W-2 income alone qualifies me for the purchase of the multifamily property. The Self-Sufficiency Test does not pass the requirement (PITI ≤ appraised rent x 75%).

I got in contact with another Lender B who is telling me the self-sufficiency test is required only when you need the rent pay back to supplement your income as qualification for the loan. (He claims to have resolved this exact scenario a couple weeks ago.)

I confirmed with the Lender A that my income alone does qualify me for the loan but they are telling me the self-sufficiency test is required regardless of your income qualifications.

Who is correct on this? I cannot locate the guidelines for FHA multifamily loan requirements anywhere online and Lender A cannot point me to the specific guideline that shows this requirement. Can you possibly even point me to a handbook or regulation (not an article) that highlights this?

[Brandon Bell]

This was confirmed. Lender A was correct. Although lender B swore up and down it could be done, he last second informed me that he was mistakenly referring to a previous duplex offer - which does not require self-sufficiency test.