I financed the property using (i) a conventional loan and (ii) a HELOC on the property that was drawn at close (there are two separate mortgages on the same property). 

However, due to a lack of inventory and me having to use an FHA loan for multi-families (I don't have 15-25% set aside for a down payment on a multifamily that would be required with an owner-occupied conventional loan), I have not had much luck in finding anything worthwhile. 

Or should I cash out refinance into a conventional loan and use the equity/VA Entitlement to purchase another property?

Or should I cash out refinance into a conventional loan and use the equity/VA Entitlement to purchase another property?

Hi all,Hoping for some thoughts and advice on a financing strategy I am hoping to use on my first house hack.I purchased a SFH with a MIL duplex that is paying 2/3 of my mortgage.I paid using a 10% conventional owner-occupied mortgage. 

You should be able to do a 20% down conventional loan if you have proper DTI.

How did you find a portfolio lender that is able to do non conventional financing such as low down, low interest on owner occupant multifamily zoned properties?

This will essentially not be possible with new/multiple offer properties, so youll need to focus on properties that have been on the market awhile.Also note in Baltimore, your escrowed funds are always going to be high due to the high taxes...no way around that.Also keep in mind conventional loans limit closing help to 3%, VA to 4% and FHA to 6%.

The lender you're talking to is obviously limited to conventional financing and you won't qualify there.  

We did have to pay PMI, but when we refinanced to a conventional loan we were no longer required to have that.