Buy a 4-Plex with Just 3.5% Down

FHA requires just 3.5% down for 2-4 unit owner-occupied properties if your credit score is 580 or higher. For credit scores between 500-579, you'll need 10% down.

Example: On a $400,000 fourplex, you'd only need $14,000 down (3.5%), compared to $80,000 (20%) on a conventional investment property loan.

Yes! FHA allows you to use 75% of the projected rental income from the other units to help qualify for the mortgage. This significantly increases your buying power.

For example, if the 3 other units will rent for $1,200/month each, you can count $2,700/month ($3,600 × 75%) toward your qualifying income.

Manual underwriting means a real person reviews your complete financial picture instead of relying solely on automated systems. It's used when:

• You have past credit issues (bankruptcy, foreclosure, collections)
• You're self-employed with complex income
• Your DTI is higher than automated approval limits
• You have limited or no credit history

Manual underwriting considers compensating factors like strong cash reserves, low debt, and stable employment history.

No! FHA does not require you to have prior experience as a landlord. Many first-time home buyers use FHA multi-unit loans as their entry into real estate investing. We can connect you with property management resources if you prefer a hands-off approach.

FHA requires that you occupy one unit as your primary residence for at least 12 months after closing. After that, you're free to move out and rent all units, or even sell the property.

You must move in within 60 days of closing and intend to make it your primary residence at the time of purchase.

We specialize in helping borrowers who've been denied elsewhere. Big banks often use rigid automated systems that reject applications without considering the full context.

Our manual underwriting team reviews each application individually and looks for compensating factors that might offset any concerns. We've helped hundreds of borrowers get approved after being told "no" by other lenders.

Yes! FHA allows you to use 100% gift funds from family members for your down payment and closing costs. The donor must provide a gift letter stating that the funds don't need to be repaid. This makes FHA loans even more accessible for first-time buyers.

FHA's minimum credit score is 580 for 3.5% down or 500 for 10% down. However, with manual underwriting, we can often work with borrowers who have:

• Past bankruptcy or foreclosure (after waiting periods)
• Limited credit history or "thin file"
• Collections or charge-offs that have been addressed

Every situation is unique—contact us to discuss your specific circumstances.