You can buy a 2–4 unit property with 3.5% down (or 10% if your credit score is between 500–579). You must live in one unit and can use up to 75% of the other units' projected rent to help qualify for the loan.
If traditional lenders won't budge on the 20% rule, investors use "stacking" to reach the 10% out-of-pocket goal. buying investment property with 10 percent down
These loans qualify you based on the property’s rental income rather than your personal income. While 20% down is the industry standard, some niche DSCR programs allow 10% to 15% down if the property's cash flow is exceptionally strong (often a 1.20 DSCR or higher). 3. Creative Financing Strategies You can buy a 2–4 unit property with 3
You negotiate directly with the seller to act as the lender. They might accept 10% down, and you skip the strict bank underwriting and private mortgage insurance (PMI). These loans qualify you based on the property’s
Some lenders offer proprietary products designed specifically for investors that bypass standard Fannie Mae/ Freddie Mac guidelines.