All Forum Posts by: Brittany Fife

Can you get an FHA 3.5% down payment mortgage on a four plex?

Thank you so much for all the advice. If that's what will get me more properties then I am down. Time to start saving.

I just purchased my first duplex a few months ago. I also have a single family I am renting out. The single family has an equity line on it. The duplex is FHA owner occupied. I was wondering how to get a four-plex. Should I pay off the mortgage and equity line as fast as I can and then refinance the mortgage, or should I pool up a large amount of money for a down-payment. If I save up my money I could purchase a four-plex with 20% down and then I would not have to refinance the duplex mortgage. I don't know which is better and which would give me a loan faster. Do you guys have any advice for me? I want to make sure I don't waste my time/money and that I get into more investments as soon as possible. The duplex and single family are my FIRST rental income so I believe I would need at least one year steady income for the financier to see that I am able to make income this way (track record).

I was wondering what is acceptable to ask the seller about the property when it is a multifamily?

How much is the monthly charge to rent it?

I am new to the multi family investing business. I was wondering how much cash should I put aside for taxes? We don't have a state tax so should I save 20% for federal taxes?

What is a 1031 exchange?

I am under contract for my first duplex. I own a single family home right now. The loan for the duplex is FHA with 3.5% down. I am wondering when I would be able to purchase another multifamily. People say you can't have two FHA loans with 3.5% down. I wanted to get the ball rolling faster than this. I see now, when I am two weeks away from the closing, that I could have bought a 4plex instead of a duplex and be making more money. Everyone says that it's good to start off slow in real estate in case I get a tenant that doesn't pay and then I can afford my bills but I feel like this will be slowing my progress and then I feel like it would take three years to buy another house. I was hoping for the turnaround to be quicker. What should I do? Can I get out of the duplex deal and pursue a 4plex or should I just stick it out and wait until I have enough equity and then get a 4plex.

I would buy a 3-4 multifamily and live in one of the apartments. Then you get a jump start on real estate investing. I would think it's safer that way if you have your numbers straight which it sounds like you do because of you make $700 a month cash flow. Good job.

After you buy the first owner occupied property for 3.5% is it hard or impossible to get another owner occupied property for 3.5% a year and a half later? Would you have to get a 10-20% down loan instead?