Quote from @Leo Alvarado: Hey guys, I am currently in the process of closing on a two unit duplex that I will be occupying while renting out the other unit.

Talk to a few local banks and get preapproved - the best financing will be for properties you choose to occupy, so I'd recommend getting something with at least two units.

Because I want to continue investing, avoiding paying the personal gains is what my mind is occupied with. 

zip code 14605. i am in contract with a 6 unit there, it is currently occupied but a management company i briefly spoke to denied to manage the property due to the area. im on the fence wether i should go with it. 

Alternatively they can purchase a portfolio of occupied homes at a discounted price because the seller of the portfolio in most instances first tried their hand at selling the homes individually to the owner occupant and after experiencing 13-15% in disposition fees and expenses realized its not worth the effort and better to package the assets and sell discounted to another investor.Keep in mind, most of these SFH's are in stagnant markets meaning limited appreciation and if you ever took the time to look at an amortization schedule  there's no meaningful principal paydown for many years.

But, VA is the only "owner occupied" loan type that you can actually refinance after you have converted this to an investment property! 

TAYour ADU application will likely need to be signed by the tenants occupying the property so having a conversation with them is important.

There could also be a change to the HOA by-laws eliminating the right to lease and alternatively if too many units are tenant occupied it could impact the warrantability of the financing which would be problematic if you wanted to sell the unit.

Quote from @Elliot Angus: I recently came across an interesting opportunity and thought I’d share the details.Mortgage Details:Outstanding Balance: $70,000Fixed Interest Rate: 3.75%Monthly Payment (PITI): $950Loan Maturity: May 2045The property’s current market value is around $225,000, leaving significant equity on the table.Tenant-Buyer Situation:The property is currently occupied by Rent to Own tenants.

I currently own just one property (a duplex) and it is owner-occupied, I live in one unit and my tenants rent the other unit from me.