As a real estate professional, you might expect me to say, “It’s a great time to buy real estate.” You could think I am biased, and I may be.
Right now there are two factors that provide a unique opportunity to invest in duplex, triplex, and fourplex properties.
Interest Rates and Financing
Banks consider 2-4 unit properties as residential properties. This means they are qualify for Freddie Mac and Fannie Mae underwriting guidelines.
You can get a great interest rate on these properties. The rates are going to be 0.5% to 1.0% higher than owner-occupied rates. Right now this means that borrowers with good credit and verifiable income can get an interest rate in the 4.25-4.85% range fixed for 30 years.
Historically rates have been much higher. You can see from the chart below that the historical average since the 1970’s is around 8.4%.
Underwriting this type of loan is straightforward. For more information on financing these purchases read my article on Financing a Duplex, Triplex or Fourplex.
Borrowers will generally need 25% to 30% of the acquisition price as a down payment to finance the purchase.
If you are considering real estate investing, now is a good time to get off of the sidelines and to invest in well located real estate. Call me today to discuss properties that are currently available on the market at (925) 385-8798.
Walnut Creek Duplex Properties
- List View
- Map View
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Lot Size11,761 sqft
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Home Size2,895 sq ft
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Beds
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Baths
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Year Built1949
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Days on Market141
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(all data current as of
2/23/2019)
Listing information deemed reliable but not guaranteed. Read full disclaimer.
Oakland Investment Properties
- List View
- Map View
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Lot Size3,920 sqft
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Home Size2,831 sq ft
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Beds
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Baths
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Year Built1928
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Days on Market17
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Lot Size4,356 sqft
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Home Size1,994 sq ft
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Beds
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Baths
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Year Built1920
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Days on Market46
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See all Real estate matching your search.
(all data current as of
2/23/2019)
Listing information deemed reliable but not guaranteed. Read full disclaimer.