Don’t let the lack of a big down payment stop you from purchasing a home!…
Fannie Mae, the leading source of mortgage financing in the United States, has exciting news coming our way. Starting November 18th, 2023, Fannie Mae will be implementing new down payment options for multi-unit homes, specifically duplexes, triplexes, and fourplexes, when purchased as primary residences.
The most exciting news is that you will now be able to purchase a multi-unit home with as little as a 5% down payment. This change will significantly reduce the barrier to entry for potential buyers, allowing more individuals and families to invest in multi-unit homes.
What does this mean for you? With just a 5% down payment, you could become the proud owner of a multi-unit home, while also having the opportunity to generate rental income from the other units. This is an excellent opportunity for those looking to invest in real estate, as it allows for potential income streams while also providing a place to call home.
Previously, purchasing a two-unit home as a primary residence required a higher down payment (15%-20% down). However, with these new changes, the process has become much more accessible and affordable. Whether you are a first-time buyer or an experienced investor, this is a chance to take advantage of the benefits that multi-unit housing can offer.
The conforming loan limits are also larger when it comes to multi-unit properties. This means you qualify for the best possible interest rates at an even larger loan amount then you do if you purchase a one-unit property. Currently the maximum loan amount is $929,850 for a two-unit, $1,123,900 for a 3-unit, and $1,396,800 for a 4-unit property.
We understand that purchasing a home is a significant decision, and we want to provide you with the most up-to-date information to help you make informed choices. As always, our team is here to assist you throughout the process, answering any questions you may have and guiding you every step of the way.
We look forward to seeing the positive impact these changes will have on the housing market, and we are excited to be able to offer these opportunities to our valued customers. If you have any further questions or would like to discuss these changes in more detail, please do not hesitate to reach out to us.