Lately, I have been getting more and more questions from borrowers about their mortgage options for a duplex, triplex, or fourplex (owner occupied); and I think I know why...it's a no-brainer! I've even considered buying one myself. Think of the advantages...

     - You get help with the mortgage payments and can pay the mortgage off sooner
     - You can use the rental income on your loan application to help with the loan approval (75% of the average rent for the unit)
     - You live right next door to your tenants making your job as a landlord much easier
     - You can enlist the tenants help with the yardwork

For those of you that are interested in buying a multi-unit property and plan to live in one of the units, here are some financing options...

 -FHA Mortgage: FHA has a great advantage over conventional financing in that it only requires a 3.5% down payment and the interest rates that are offered are not credit-score driven, meaning that as long as you qualify your interest rate will not be determined by your credit score. FHA also offers a home improvement loan called the 203k that will allow you to finance some repairs into the loan. Also, in the future if you decide to move and rent out all the units of your property, FHA will allow this after one year. 

     -Conventional Loan: Things have tightened up considerably with conventional loans and especially for multi-unit properties. If you have 20% down and a 740+ credit score, then conventional financing may be your best option because you won't have to pay monthly mortgage insurance.

In these tough economic times more and more people are looking for options to reduce their housing expenses.  I think buying a duplex, triplex, or fourplex may be one of the better ways to lower those expenses. There are many options in Logan, Utah right now.  See for yourself...www.utahrealestate.com or talk to one of these realtors.