Multi-Family Loans in California

A multi-family loan finances property with multiple units, and the rules change at five. Two-to-four unit properties use residential financing, can be owner-occupied with as little as 3.5% down on FHA, and count rental income toward qualifying. Five or more units is commercial, qualifying on debt service coverage of 1.25 or better with 25-30% down. Both allow house-hacking where you occupy one unit.

Most multi-family loan programs in California look for 660+. Credit tends to affect your pricing more than your eligibility — a stronger score usually shows up as a lower rate rather than a different answer on whether you qualify.

A multi-family loan in California typically requires 20-30% down. The exact figure moves with your credit profile, occupancy and property type — stronger files land at the low end of that range.

A multi-family loan in California generally closes in 35-60 days. Appraisal turn times and how quickly you return requested documents are the two things that move that timeline most.

A multi-family loan is available for investment, or owner-occupied 2-4 unit. Occupancy affects both pricing and down payment, so confirm the intended use up front — it changes the terms you are quoted.

Multi-family loan rates run roughly 1% to 2% above an owner-occupied loan, reflecting investment-occupancy risk pricing. Your specific number depends on credit, down payment, occupancy and the day you lock.

For a multi-family loan, income is qualified with rental income counted, or entirely on DSCR for 5+ units. This is the main way the program differs from a standard conventional loan, and it is usually the reason borrowers choose it.

Yes. With a multi-family loan the usual path is to refinance into commercial terms as the portfolio grows. Nothing locks you in — plan the exit when you take the loan rather than after.

For a multi-family loan you will need a government ID, credit authorization and property details, plus a rent roll, existing leases and operating statements for the property.

Call (888) 703-1840 for a free multi-family loan consultation, or use the form on this page. Pre-approval usually takes 1-3 business days, and there is no cost and no hard credit pull to find out what you qualify for.