Other cities you have to look at the zoning and find your area and what zoning district your in.It sounds like you have a non-conforming use.  

Reserves are required for any type of conforming loan when having other properties.

Below is what happened in 2019 to our target property profile:The following graph shows the current median $/SF comparing to the peak ($171/SF) in 2006 for properties conforming to our target profile.

Are you talking conventional/conforming 30 year notes? 

Apartments permitted above the ground floor.")The current seller says that the house is grandfathered as a three flat and is a legal non-conforming property.

Rates and terms are usually very competitive, if not better, than conventional lenders and there is more flexibility, since a portfolio lender doesn't have to conform to Fannie/Freddie underwriting standards.

. #4 the house is currently in a location zoned SFR and is non-conformant but "grand-fathered" in to this exception.

If you rent to 4 unrelated individuals then you’re supposed to register as a rooming house with the city of Lowell and conform to those building code requirements.

Instead of worrying, I consider it conformation to go forward and that's what I've been doing.

@Darren Crawford  @Zach Griffin is correct, the typical conforming commercial loan is a 5-year fix with a 20-year amortization (Fannie and Freddie small balance loan minimum amount is $1MM.) but there are Alt-A products that either have a 5-year fix, 7-year fix, 10-year fix and even a 30-year fix with a 30-year amortization.