I will be sure to ask, and I will be reaching out to you to compare what information they give me!

This would allow me to get the house for much less upfront than a traditional cash sale.

You have a very strong application for non traditional lending.  

Nashville has also been ranked among the Nation's top ten real estate markets for3 straight years.In Nashville, houses still remain affordable when compared to the nation based on the Trends in Real Estate.

Now I have more liquidity and can pay down the principal balance much faster than with the traditional amortized loan. 

You open a SDIRA, transfer your existing SEP account to a self-directed IRA (can become traditional IRA or stay as a SEP) then lend the agreed amount out of your account to your friend the builder.

Is the conventional loan option comparable or better then FHA?

Wow, prices are so low compared to where I am from, for a duplex.I am in the process of getting my first duplex as well (closing is in 2 weeks).

@Kerri JunioYou need to do the analysis on the property.What a person owes on the mortgage has zero to do with the value of the property.You need to look at the comparative sales in the area.

I started looking around using the MLS, but know choosing the right area (and ignoring even certain streets in an area) is paramount to making a good decision and need to start working with people familiar with that area that can work with.While I do have money saved up, I am also wondering how feasible it is to get traditional lending and then going through a private lender to finance the rest or at least reduce the 20% down amount to not down the money into the house – oh, and so that it cash flows?