My friend and I would like to purchase a duplex in ohio so that we can live in one side and rent the other side rent free. my friend has a good job and decent credit and lives w/his parents currently. I live in an apartment and my lease ends next month. I already own one $74,000 rental property a single family 3bdr 2 bath that I am renting w/a positive cash flow, but on the loan it shows as a owner occupied property. What is the best way for us to go about financing so that I can obtain my 2nd investment property and he can reap the benefits of it being his first. Will it be difficult for me to get on this loan since I already have one property under my belt.
You may have an issue if you try to get it owner occ. The underwriter may balk at it if the duplex is not in as nice an area as your sngle family is. They may not believe you want to move from a nice area to a worse area. I am a mortgae broker and had that problem with a client. he had to get to the new property as investment, which meant 10% down.