Did You know that Freddie Mac will do a small mixed property??? It’s true!!!
Not all mixed-use properties have to be financed using commercial loan programs. FHA is also in the same game lending on small mixed-use properties. Here are a few things to keep in mind when considering buying or refinancing a mixed-use property.
- The property MUST be a primary residence and a one-unit ONLY.
- It must be located in a residential neighborhood, be primarily residential use and confirm to the local zoning requirements.
- The commercial section of the property must be owned by the Borrower as their business.
- The property cannot be modified in a way that affects marketability as a residence.
- The commercial use cannot affect safety or habitability of the property or site.
Best examples of acceptable use:
- Doctor’s office
- attorney’s office
- professional services, etc.