All Forum Posts by: Eudes De leon

So I found out you can now use FHA to acquire mixed use properties with up to 49% commercial component. The multifamily market in my area is totally overwrought (if you can even find something on the market at all) so I'm thinking of advising a client to pursue a mixed use building.

My one question would be how the FHA counts commercial storefronts from a unit count perspective. Is each separate storefront a "unit"? The line is very clear with pure multifamily, but sometimes you might have a building that has 3 big residential units that are 1000 SF each and then 600 SF of storefront divided into two tiny little storefronts. Do each of those count as a "unit" thereby making it a 5 unit building and ineligible for the loan? Seems very odd to me that FHA ever started allowing mixed use, but I sure want to find out how to best take advantage of the program given the newish rules allowing it.

Hi Joe,

The actual closing rate on these, that I have seen, is somewhere around 50% (this could be regional, idk). It all comes down to the language used by the government FHA appraiser, which neither you, nor your lender, nor your agent, has any direct control over. So I hate to say it, but the answer is "it depends," and the price of a better answer is tying it up in contract and an appraisal fee -- you can't order an FHA appraisal without an FHA case number, and you can't generate an FHA case number without owning the property (refi) or having it actually under contract (purch).

Any listing agent that has a bunch of mixed use commercial deals under their belt where the buyer has tried to go FHA knows that these are hit and miss and a crap shoot.

I've set your expectations pretty low here. If you want to go out there and prove me wrong by getting some amazing commercial real estate with FHA 3.5% down, please by all means prove me wrong, and post back with how it played out!

LOL I know this is over a year old But I'm guessing he never find out a good deal because he never post a back. And I'm also very curious about purchasing a mixed use fha

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Originally posted by @Jonathan Casillas:

I woul need some more info before I can give you a intelligent answer. Please feel free to contact me.

I have a question I'm looking into purchasing a 4 plex using that FHA loan . This property has 3 apartments and one commercial property attached to it The commercial park or the building is less than 49%. Can I get a FHA loan For a property they have these criteria?

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@Eric Carr #eric carr Thank you. Telling them that I wanna 4 plex because I want to invest is that at Legit reason. I'm still looking for 4 plex . some of them are 3 residential 1 commercial I read somewhere a long time ago that as long as the commercial Part is 49%. Or less of the whole building I can be approved mix used FHA. Anybody has experience with mixed use FHA

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#eric carr Thank you. Telling them that I wanna 4 plex because I want to invest is that at Legit reason. I'm still looking for 4 plex . some of them are 3 residential 1 commercial I read somewhere a long time ago that as long as the commercial Part is 49%. Or less of the whole building I can be approved mix used FHA. Anybody has experience with mixed use FHA

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#seth willams lol. I'm planning into moving into the 4 plex. #Corby Goade Thank you for your advice Is the question comes up I just gonna tell them that I am moving into the new house . I'll keep you posted let you guys know what happened Thank you everybody for helping out #BP For life

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I recently apply for FHA loan To buy a Multi family. The problem is I have a single family with a conventional loan. Now the Under writer wants to know why I want to move from a single family to an apartment. The reason is because I want to at a 4unit To my portfolio but of course I cannot tell them this. Any idea how can I get my loan approved .

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Thank you both @Jeff Brower and @Justin Tahilramani . @Jeff Brower I like how you Included facts to Back your advice it was very helpful being a real estate investor I learn something new every day .@Justin Tahilramani I have a question do you agree with Jeff it will be nice to know your opinion Since you are from the area. Or you still maintain your position

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My cousin live in Baltimore Maryland She wants to buy a 4 unit property using a FHA She's afraid that she might not qualify because off Her debt to income Can the bank use the projected income from the rental properties to bring her debt to income so she can qualify . sample she only qualify for a $120000 for a single house. Is she trying to buy a $300000 house with 4 unit can the bank use the project the income from the rental units in order for her to qualify? I think she can but I'm not sure I don't wanna give her misleading information

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Thank you very much for posting this I was not aware that there was these type of loans we so much restriction

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I was told that in my area they do not give you title insurance when you buy a property at an auction you have to wait 12 months before any title company will give you title insurance

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All Forum Posts by: Eudes De leon

Eudes De leon has started 5 posts and replied 17 times.

Post: FHA Mixed Use Question

Post: FHA Multifamily

Post: FHA from Single family to move the family

Post: FHA from Single family to move the family

Post: FHA from Single family to move the family

Post: FHA from Single family to move the family

Post: FHA debt to income To qualify

Post: FHA debt to income To qualify

Post: Lesson learned. . . seeking encouragement

Post: Auction.com using a hard money lender