Can I buy a duplex or triplex in Denver and live in one unit?
Owner-occupied financing considerations for duplexes, triplexes and four-unit homes in Denver.
The short answer
Yes, qualified buyers may finance an eligible two- to four-unit property as a primary residence when they occupy one unit. Down payment, reserves, rental-income treatment and property requirements vary by program.
Primary residence rules still apply
The borrower must genuinely intend to occupy one unit as a primary residence under the program's occupancy requirements. The remaining units may produce rental income, subject to documentation and calculation rules.
Rental income can affect qualification
Depending on the program and borrower history, eligible market rent or lease income may help qualify after required adjustments. The appraisal and rent schedule are important parts of the analysis.
Budget for a small multifamily property
Repairs, vacancies, utilities, reserves and landlord responsibilities matter in addition to the mortgage payment. Some programs have special reserve, self-sufficiency or property-condition requirements for multi-unit homes.
What this can look like in practice
A buyer purchasing a Denver duplex and occupying one unit may be able to use eligible rent from the other unit after the program's required adjustment. The appraisal, legal unit count, leases, reserves and the buyer's landlord budget all matter.
Illustration only. It is not a rate quote, approval or commitment to lend.
“Owner-occupied multifamily financing can be a powerful entry into real-estate investing, but projected rent should not replace a realistic repair, vacancy and reserve plan.”
— Matt Nockels, mortgage professional since 2003