Can FHA be used for 2 to 4 unit homes?
Yes, for owner-occupied 2–4 unit properties. The down payment is still 3.5% (with 580+ FICO) on most of these.
Plain-English explanation
FHA's 'self-sufficiency rule' applies on 3–4 unit properties — projected rental income from the non-owner units must cover the proposed mortgage payment. That changes how you underwrite the deal.
What can change the answer?
Property classification (single-family, condo, manufactured, 2–4 unit), occupancy, FHA program flavor (standard FHA vs 203k), and lender capability can change the answer.
Related
Want the real answer for your file?
FHA guidelines are the rule. Your credit, income, payment, property, and county limit are what decide the actual answer.
More FHA questions on Property Types
Educational only. FHA guidelines, lender overlays, rates, fees, and underwriting requirements can change. Final eligibility depends on full underwriting review.