At that point, you may as well do a conventional loan and avoid the PMI. 

The builder could give you “upgrades” but the cash back is limited by conventional loan requirements.

Hey Greg, not knowing too much about the property, but in general a 2 unit would qualify for a conventional fannie freddie loan. 

@Julie Toh Maybe the reason for the confusion in the poster’s mind....in the US, you can eliminate PMI automatically on a conventional after the equity exceeds 20%, when other conditions are met, without having to refinance.

I'd also look into a HELOC.Investment property 4 unit with 70% LTV cash out and 740+ credit can get you a convention loan for 3.375% at ZERO points APR 3.483%. 

(we’re being conservative @ $1200 for analysis purposes)Refinance to 30-year conventional after 6-months of tenant occupation (our conventional lender tells us they require the 6-month duration)      - Pending fed action / outlook, we’re using for analysis purposes 1-point and 4.5% for a ~18-month out                  forecast on conventional refinance investment property rates.

Hi Everyone,I'm in the process of trying to refinance on my four unit building from my current 30 yr FHA loan to a 30 yr fixed conventional. 

Conventional is too expensive if any lender would take the risk.

Conventional Loan as a primary residence, with 20% down @ fixed 3.125%.

Conventional Loan as a primary residence, with 20% down @ fixed 3.125%.