Hello,
I am writing in hopes someone might give me some valuable advice on my current situation and the potential of purchasing a second multi family home.
Currently I own and occupy one duplex and am on my 3rd year of doing this. My strategy with this is to hold it for the long term. I purchased the property with a 30 year conventional loan and 20% down. Currently I have around $30k in equity.
The house was in decent shape when I bought it and over the last 3 years I have made some great improvements that should hold me over for the coming years.
In the last 3 years I have replaced both furnaces, all windows with new construction windows, painted and updated the interior. I don't for see any major things in the coming years with the property but there's always a chance. My tenant has stuck with me for the last 3 years and has never missed a payment and takes care of the place great!
I would like to acquire another multi family buy and hold. I was thinking of achieving this through an FHA loan since my first purchase was with a conventional loan. (I'm not 100% sure if that's possible?)
I was thinking of going the FHA route because of the low down payment requirement. Could anyone let me know if they agree with that idea?
For the next property I was thinking I should go with a tri-plex for the extra income and I feel now I have the level of experience needed to handle those extra units. I do understand if I went the FHA route I would have to occupy it and that's perfectly fine.
Would there be any better financing ideas? I don't have a lot saved up for a down payment but I know I could easily meet the 3.5% needed for the FHA loan.
If anyone has any ideas or feedback for me I would be all ears.
Thanks for reading!
