OWNER-OCCUPIED RENTAL PROPERTIES

An owner-occupied investment is a multifamily property in which the investor (YOU) lives in one of the units while renting the other units.  VA, Fannie Mae, and Freddy Mac back the same no-money-down or  low-money-down financing for 2-4 unit investment properties as they do for other residential properties because they treat 2-4 unit properties like residential as long as the OWNER OCCUPIES one of the units.  5 or more properties are considered commercial.  Although still a good investment, commercial rental properties slide you into different financing options, usually via commercial loan vehicles.  

• Financing – As mentioned above, you can get into an owner occupied 2-4 unit multi-family property with little  to almost-no-money down (Currently as low as 3.5% depending on credit)  VA provides similar financing options, sometimes with no money down.  All VA mortgages are single-family home loans approved for up to four living units. 
• Cash Flow – Renting multiple units provides multiple income streams. 
• Equity – While renting your properties, and living in it you are also building your equity in 2 or more properties.
• Liquidity – How quickly and easily you can cash in on your investment matters.  If and when you choose to, you can most-often sell one or more of your investment properties.  In other words, when the time is right, you can choose to take a chunk of the initial investment and cash it in, while still living in or collecting income from the other properties.
• Scalable – After one year, you can rinse and repeat the same process.  
• Ease of Management – Being a property manager isn’t always easy, but by being on premise you have eyes-on your investment, can get in front of maintenance issues quickly, and be there to support your tenants as needed.

For every MLS listed property, there’s often as many or more unlisted (seller doesn’t know they want to sell yet) or FSBO opportunities out there.  As your exclusive buyer’s agent, I actively pursue the property. I hunt off-market listings, I network, I listen, and I drive the hoods.   I’m excited to help you start or expand your rental property portfolio

Multi-family Commercial Real Estate

Larger multifamily rental properties (5 or more units), although used for residential purposes, are considered commercial property. Because of this, financing is usually different from conventional residential mortgages. Rates for typical investment properties are often 75/25 basis and as the size of the property increases (and becomes more commercialized, you typically see more short-term, LoC, Balloon, and Portfolio type arrangements (or combinations of). In multifamily commercial real estate financing, the financing terms vary depending on the type of transaction. There are different terms for new construction vs long-term vs short-term loans. Financing commercial deals is often a game of creativity mixed with more creativity.