Can I buy a 2-4 unit property with a conventional loan?
Yes. Conventional finances 2-, 3-, and 4-unit properties for primary residence (owner-occupied) and investment. Owner-occupied multi-unit can have lower down payment minimums than pure investment. Rental income from non-owner-occupied units may count toward qualifying.
What this actually means.
Owner-occupied 2-4 unit conventional: minimum down payment depends on automated underwriting findings — sometimes as low as 5% on a 2-unit, but typically 15-25% on 3-4 unit. Investment 2-4 unit: typically 25% minimum down. Rental income usually counts at 75% of market rent or current lease per Fannie/Freddie rules. Reserve requirements increase with unit count. Subject to Fannie/Freddie guidelines.
Where this can move.
Property classification (single-family, condo, manufactured, 2-4 unit), occupancy, and lender capability for the property type can change the answer.
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More conventional questions on Property Types.
Educational only. Conventional loan guidelines, lender overlays, rates, fees, PMI, LLPAs, and underwriting requirements can change. Final eligibility depends on full underwriting review. Mortgage Expert, Inc. is not affiliated with Fannie Mae, Freddie Mac, FHFA, or any government agency.