A duplex loan, triplex loan or fourplex loan is a residential mortgage on a building with two, three or four units. Which one fits depends on whether you will live in one of the units, how the property’s rent is counted, and how much you plan to put down.
Mortgages Done Right Inc. helps Florida buyers and investors compare FHA duplex loans, conventional duplex mortgage options, VA financing and DSCR loans for 2–4 unit properties across Palm Beach, Broward and the rest of the state.
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The Line That Matters: 2–4 Units Is Residential, 5+ Is Commercial
Properties with one to four units are generally financed with residential mortgages. A duplex has two units, a triplex has three and a fourplex has four. That is why FHA, VA, Fannie Mae conventional and 1–4 unit DSCR programs can apply to them, and why you can often use a lower down payment when you will live in one unit.
Properties with five or more units are generally treated as commercial multifamily financing. Those loans are built around the building’s income and expenses instead of a residential borrower profile, and the rules below do not carry over. If you are looking at five units or more, start with our commercial loans page.
The rest of this page covers the 2–4 unit side: how each loan type works, what it costs to get started, how rent is counted, and the Florida issues that can change the numbers.
Duplex, Triplex and Fourplex Loan Options at a Glance
| Loan type | Best fit | Minimum down payment | Do you live there? | How rent is treated |
|---|---|---|---|---|
| FHA duplex, triplex or fourplex loan | Owner-occupants, including house hacking | 3.5% with a 580+ decision credit score; 10% down (90% LTV) for 500–579 | Yes. Move in within 60 days and plan to stay at least one year | 75% of the lesser of the appraiser’s market rent or the lease. Triplexes and fourplexes also must pass the self-sufficiency test |
| Conventional (Fannie Mae), owner-occupied | Buyers with stronger credit and reserves who will live in one unit | 5% (95% maximum LTV) | Yes | 75% of gross rent, minus the full housing payment. Positive net rent counts in full with 12+ months of landlord experience |
| Conventional (Fannie Mae), investment | Investors who will not live there | 25% (75% maximum LTV) | No | Same 75% method |
| VA, for eligible veterans and service members | Veterans who will live in one unit | Often none, if the price does not exceed the appraised value | Yes | 75% of the lease. Requires six months of reserves and landlord experience or a property manager |
| DSCR (non-QM investor loan) | Investors who want to qualify on the property’s cash flow | Often 20%–25%; set by the lender | No | Property rent compared with the property payment; lease or appraised market rent |
Figures are program minimums or typical ranges, not promises. A lender can require more, and your credit, reserves and property will decide what is available. Sources are in each section below. DSCR terms are set by lenders, not by a government agency. Details on our DSCR loans page.
FHA Duplex, Triplex and Fourplex Loans for Owner-Occupants
An FHA duplex loan, triplex loan or fourplex loan is the best-known owner-occupied multifamily loan. It is the usual path for an FHA house hack: you buy a building with two to four units, live in one, and rent the others. HUD generally limits FHA single-family programs to one- to four-family properties that are owner-occupied principal residences.
FHA minimum occupancy requirements
HUD defines a principal residence as the dwelling where you maintain your permanent place of abode and typically live the majority of the calendar year. At least one borrower must move in within 60 days of signing the security instrument and intend to stay for at least one year. See HUD’s guidance on the FHA principal residence rule. You can rent out the other units, but you cannot use FHA to buy a building you do not plan to live in.
FHA will also not insure more than one principal residence per borrower except in limited cases, such as a job-related relocation more than 100 miles away or a growing family when the current home’s loan-to-value ratio is 75% or less. If you already have an FHA loan on the home you live in, ask before you plan to keep it and buy a fourplex with a second FHA loan. See HUD’s answer on more than one FHA loan.
Down payment and credit score
FHA requires a minimum required investment of at least 3.5% of the property’s adjusted value (HUD). HUD ties the maximum financing to the borrower’s minimum decision credit score: 580 or higher is eligible for maximum financing, and 500 to 579 is limited to a 90% loan-to-value ratio (HUD credit score guidance). FHA loans carry mortgage insurance, which our mortgage insurance guide explains. For more on cash to close, see our FHA down payment guide and FHA loan requirements.
FHA 3–4 unit self-sufficiency test
If you are shopping for an FHA triplex loan or fourplex loan, there is one more test. The property’s rent has to be high enough to cover its own payment. HUD calls this net self-sufficiency rental income. The lender takes the appraiser’s estimate of fair market rent from all of the units, including the unit you will live in, and subtracts the greater of the appraiser’s estimate for vacancies and maintenance or 25% of the rent. The monthly principal, interest, taxes and insurance (PITI) divided by that income may not exceed 100%. The lender also needs a signed HUD-92561 form from you and must verify reserves equal to three months of PITI after closing. These requirements apply to both purchases and refinances. See HUD’s explanations of the three- and four-unit rules and of purchase and refinance transactions.
| Self-sufficiency example (illustration only) | Amount |
|---|---|
| Appraiser’s market rent, four units at $2,000 each (includes the unit you will live in) | $8,000 |
| Less 25% for vacancy and maintenance (or the appraiser’s estimate, if higher) | −$2,000 |
| Net self-sufficiency rental income | $6,000 |
| Maximum monthly principal, interest, taxes and insurance that passes (100%) | $6,000 |
| A $6,400 payment would be 107% of that income | Does not pass |
HUD also counts a separate accessory dwelling unit (ADU) as an additional unit. A property with two dwelling units and one ADU is treated as a three-unit property, and the three- and four-unit rules apply.
FHA rental income treatment
For two- to four-unit properties, HUD allows rental income from the subject property to count as effective income. When there is no rental history on the property, the lender needs an appraisal that shows fair market rent on Fannie Mae Form 1025 (the small residential income property appraisal), plus leases if they exist. The income used is 75% of the lesser of the appraiser’s fair market rent or the rent in the lease. If you already own the property and have a rental history, the lender averages the rent from your tax returns (Schedule E) instead. The rent is added to your income. It does not reduce your mortgage payment in the ratio, and income from commercial space cannot be included. Read HUD’s rental income guidance.
Co-borrowers who will not live there
FHA does allow a purchase with a non-occupying co-borrower on a two- to four-unit property, but the maximum loan-to-value ratio is 75%, so the down payment is 25% (HUD).
FHA Loan Limits for 2–4 Unit Properties in Palm Beach, Broward and Across Florida
FHA caps the loan amount by county and by the number of units. For 2026, the limits for Palm Beach and Broward counties are the highest in South Florida, and most Florida counties sit at the national floor. The limit applies to the base loan amount, so a larger down payment can bring a higher-priced building under it. See HUD’s 2026 limits (ML 2025-23) or use HUD’s county lookup tool.
| 2026 FHA loan limit | 1 unit | 2 units (duplex) | 3 units (triplex) | 4 units (fourplex) |
|---|---|---|---|---|
| Palm Beach, Broward and Miami-Dade counties | $667,000 | $853,900 | $1,032,150 | $1,282,700 |
| Martin and St. Lucie counties | $603,750 | $772,900 | $934,250 | $1,161,050 |
| Florida’s lowest-cost counties (the national “floor”) | $541,287 | $693,050 | $837,700 | $1,041,125 |
Source: HUD Mortgagee Letter 2025-23 and HUD’s FHA mortgage limits lookup, for FHA case numbers assigned on or after January 1, 2026. 51 of Florida’s 67 counties are at the floor and 16 are above it. No Florida county is at the national ceiling. HUD normally publishes next year’s limits in the late fall.
Our FHA loan limits by county guide lists every Florida county. If the price you need is above the FHA limit, compare conventional or jumbo options.
Conventional Duplex Mortgage and 2–4 Unit Financing
A conventional duplex mortgage follows Fannie Mae or Freddie Mac conforming guidelines. The figures below come from Fannie Mae. They are the program maximums for loans approved through Desktop Underwriter, so your lender or the automated findings can ask for more.
Down payment and loan-to-value: owner-occupied vs. investment
Fannie Mae’s Eligibility Matrix (dated August 5, 2026) allows a maximum 95% loan-to-value ratio on a purchase of a two- to four-unit principal residence, which means 5% down. Fannie Mae lists up to 97% for a one-unit primary home, so the 2–4 unit property requires more cash. When the borrower does not live in the property, it is an investment property. Fannie Mae defines that as a property owned but not occupied by the borrower (Fannie Mae occupancy types). On a purchase of a two- to four-unit investment property, the matrix allows a maximum 75% loan-to-value ratio, or 25% down. For a one-unit investment property it is 85%. See the Eligibility Matrix.
Putting less than 20% down on a conventional loan generally brings private mortgage insurance. See our mortgage insurance guide and our investment property loan rates guide, because Fannie Mae applies loan-level price adjustments to every investment property loan.
Reserve requirements
For loans approved through Desktop Underwriter, Fannie Mae requires six months of reserves on a two- to four-unit principal residence and six months on an investment property. A one-unit principal residence needs none. Additional reserves can apply based on the automated findings or when you own other financed properties (Fannie Mae reserve requirements).
Conventional rental income
Fannie Mae allows rental income from the subject property on two- to four-unit principal residences and one- to four-unit investment properties. On a purchase, the lender needs an appraisal rent schedule (Form 1007 or 1025). It takes 75% of the gross rent and subtracts the full housing payment, which produces adjusted net rental income. With at least 12 months of experience managing rental property, positive net rental income can be used in full. With less experience, positive income can only offset the housing payment. If the result is negative, it is added to your monthly debts (Fannie Mae subject-property rental income).
Conforming loan limits
If the loan amount fits under the 2026 conforming limit for the number of units, you can use a conventional loan. Above it, you move into jumbo territory.
| 2026 conforming loan limit | 1 unit | 2 units | 3 units | 4 units |
|---|---|---|---|---|
| Palm Beach, Broward, Miami-Dade, Martin and St. Lucie counties | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
Source: Federal Housing Finance Agency, 2026 conforming loan limit addendum and county limit list. Monroe County has higher limits.
See our jumbo loan guide and Florida jumbo loan limit guide for larger duplex, triplex and fourplex purchases. If you are weighing FHA against conventional financing, our FHA vs. conventional comparison walks through the tradeoffs.
VA Loans on a Duplex, Triplex or Fourplex
The VA home loan can buy a home with up to four units, as long as you plan to live in one of them. VA’s purchase loan page says eligible borrowers can “buy a single-family home, up to 4 units,” that the loan often requires no down payment when the price does not exceed the appraised value, and that a funding fee may apply (VA.gov). Our VA loan requirements guide covers eligibility and entitlement.
Rent from the other units can help you qualify, but VA sets more conditions than for a one-unit home. Under the VA Lender’s Handbook, the veteran must occupy one unit. The lender includes prospective rental income only if you have a reasonable likelihood of success as a landlord and at least six months of mortgage payments (PITI) in cash reserves. The lender also documents your experience managing rental units or the use of a property management company. Equity in the property cannot count as reserves, and the funds must be your own, not a gift. The rent counted is 75% of the amount on the lease. For proposed construction, it is 75% of the appraiser’s opinion of fair monthly rent. See VA’s Lender’s Handbook, Chapter 4.
Investment-Property and DSCR Financing for 1–4 Unit Properties
If you will not live in the building, you have two main paths. The first is a conventional investment-property loan, described above, which uses your personal income, 75% of the rent, and a 25% down payment on a 2–4 unit property. The second is a DSCR loan. DSCR stands for debt service coverage ratio. It is a non-QM investment loan that compares the property’s rent with its monthly payment instead of relying mainly on your tax returns or W-2 income. See our DSCR loans page.
For one- to four-unit properties, a DSCR loan is residential investment-property financing. Its guidelines are set by each lender, not by Fannie Mae, FHA or VA, so the numbers vary. On our DSCR page, we describe common ranges, such as ratios of about 1.0 to 1.25, down payments of 20% to 25% and credit scores of about 660 to 680 or higher. Treat those as typical, not guaranteed. Reserves, property condition and the type of transaction also matter. Our guides to DSCR loan requirements, DSCR down payments and DSCR rates go deeper, and our rental property mortgage guide covers conventional investor financing.
How projected or existing rent may be treated
| Program | Which rent counts | How it is calculated | What the lender looks at |
|---|---|---|---|
| FHA 2–4 unit | Rent from the subject property (not from commercial space) | 75% of the lesser of appraiser’s market rent or the lease, or averaged Schedule E rent if you already own it. Triplexes and fourplexes also face the self-sufficiency test | Form 1025 appraisal, leases, tax returns |
| Conventional (Fannie Mae) | Rent from the subject 2–4 unit property | 75% of gross rent minus the full housing payment. Positive result counts in full with 12+ months of landlord experience | Form 1007 or 1025, lease if transferred, landlord experience |
| VA | Rent from the other units | 75% of the lease (or 75% of the appraiser’s rent opinion for proposed construction). Needs six months of PITI reserves | Lease, reserves, landlord or property-manager experience |
| DSCR | Actual lease rent or appraised market rent, depending on the lender | Property rent compared with the property payment | Rent, payment, reserves, credit and property details; set by lender |
A projected rent figure is an appraiser’s opinion of what the units should rent for. An existing lease shows what a tenant actually pays. Programs differ on which one controls, which is why the same building can qualify differently under different loans.
Estimate the Payment on a 2–4 Unit Property
Use our Florida mortgage calculator to estimate principal and interest for a duplex, triplex or fourplex. Then talk with Greg about how rental income, property taxes, insurance, reserves and the loan program affect what you may actually qualify for.
Florida Insurance, Flood, Property Taxes and HOA Issues for 2–4 Unit Properties
The monthly payment on a duplex, triplex or fourplex includes more than principal and interest. Fannie Mae counts property taxes, property insurance, flood and mortgage insurance, and owners’ association dues and special assessments in the housing expense (monthly housing expense). In Florida, these items can change a deal.
Insurance
Get homeowners or landlord insurance quotes before you go under contract. Florida’s hurricane deductible is separate from the standard deductible. Insurers generally must offer deductible options of $500, 2%, 5% or 10% of dwelling coverage, and the deductible applies from a hurricane warning until 72 hours after the last watch or warning (Florida Department of Financial Services). A building with several units may price differently from a single-family home, so ask your agent early. See our homeowners insurance and mortgage approval guide.
Flood
FEMA says homes in Special Flood Hazard Areas with mortgages from federally regulated, supervised and insured lenders must have flood insurance (FEMA flood insurance guidance). National Flood Insurance Program residential building policies cover up to $250,000, and there is generally a 30-day wait unless you buy the policy while making or renewing a mortgage (FloodSmart). Most Florida flood policies are NFIP policies (Florida CFO). If the building is worth more than the NFIP building limit, ask your agent about additional coverage.
Property taxes
Do not assume the seller’s tax bill will be yours. For non-homestead residential property with nine or fewer units, Florida limits the annual increase in assessed value to 10%, but the property is reassessed at its full just value after a change of ownership (Fla. Stat. 193.1554). That reset can raise taxes after you buy. The homestead exemption requires you to make the property your permanent residence, and Florida law lets the exemption apply to only the portion of a property classified as owner-occupied residential (Fla. Stat. 196.031). Ask the Palm Beach or Broward county property appraiser how a duplex, triplex or fourplex will be assessed. See the Palm Beach County Property Appraiser’s homestead page.
Florida voters will decide Amendment 3 on the November 2026 ballot. If approved, it would raise the non-school homestead exemption beginning in 2027 and lower the cap on non-homestead assessment increases from 10% to 5%. It is not law unless it passes, so confirm the current rules before you rely on them.
HOA and condo fees
If the building is a condominium or sits in an association, dues and special assessments count toward your qualifying payment. See our guides to warrantable and non-warrantable condos, Florida condo mortgage requirements and insurance, taxes and HOA costs in South Florida.
Financing a Whole Building vs. One Unit Within a Multifamily Building
People often say “multifamily” for any building with several homes. For a mortgage, the question is what you are actually buying. If you buy the whole duplex, triplex or fourplex, you are financing a 2–4 unit property. If you buy one unit in a condominium, you are financing a condo unit, even if the building has only two to four homes.
| Financing the whole duplex, triplex or fourplex | Financing one condo unit in a multi-unit building | |
|---|---|---|
| What you are buying | The entire building and lot, as one property | One unit and a share of the common elements |
| Loan type | 2–4 unit residential mortgage | Condominium unit mortgage, underwritten as a one-unit property |
| Rent from other units | Can help you qualify under program rules | Generally does not help, because other owners own the other units |
| Appraisal | Small residential income property appraisal (Form 1025) | Appraisal of the unit |
| Project review | Not applicable | FHA needs an approved project, a site condominium, or Single-Unit Approval, which requires at least five units. Fannie Mae waives project review for units in 2–4 unit condo projects, with some basic requirements |
| Insurance and fees | You insure the building | The association usually insures the building, and you insure your unit; dues and assessments apply |
| Loan limit | Limit for the number of units | One-unit limit |
Sources: HUD’s condominium approval guidance and Fannie Mae’s project standards.
Five or More Units: A Separate, Commercial Category
At five units and above, lenders generally treat the building as commercial multifamily. FHA and VA owner-occupied programs, Fannie Mae 2–4 unit guidelines and the rent rules above do not apply the same way. Commercial multifamily loans may use the property’s income and cash flow in underwriting, but they are a separate commercial product, not the same as the one- to four-unit DSCR loans described above. Commercial lenders typically focus on the building’s income and expenses, occupancy, reserves and your experience as an owner, and terms can differ significantly. We keep that topic on its own page so the rules do not blur together. If you are buying five or more units, see our commercial loans in Florida page.
Duplex, Triplex and Fourplex Financing in South Florida
Older neighborhoods across Palm Beach and Broward counties have a real supply of two-, three- and four-unit buildings. Mortgages Done Right serves buyers and investors throughout the state from our Boynton Beach office. Explore our local pages for Lake Worth Beach, Delray Beach, West Palm Beach, Boynton Beach and Fort Lauderdale. If your search is outside those cities, the same program rules above apply, and our county limits guide shows what FHA allows where you are buying.
What to Gather Before You Talk to a Lender
- Your purchase contract or the address and price you are considering, including the number of units and whether it is a whole building or a condo unit.
- Income documents, such as pay stubs, W-2s and tax returns, or investor documents if you plan to qualify on rent.
- Bank and asset statements that show the down payment, closing costs and any reserves the program requires.
- Leases, a rent roll and rent payment history if the property already has tenants.
- Insurance quotes, including wind and flood where applicable, and HOA or condo documents if the property has an association.
- A note on whether you will live in one unit, and for how long. The answer decides which programs are on the table.
Duplex, Triplex and Fourplex Loan FAQs in Florida
What is the difference between a duplex loan and a multifamily loan?
A duplex loan finances a building with two units and is a residential mortgage. “Multifamily loan” often refers to commercial financing on buildings with five or more units. Properties with one to four units are generally financed with residential mortgages, and properties with five or more units are generally treated as commercial multifamily financing. See our commercial loans page for the larger category.
Can I use an FHA loan to buy a duplex, triplex or fourplex in Florida?
Yes, if you will live in one of the units. HUD requires at least one borrower to occupy the property as a principal residence within 60 days of signing and to intend to stay at least one year. The building also has to fit under the FHA loan limit for its number of units in the county, which is $853,900 for a duplex, $1,032,150 for a triplex and $1,282,700 for a fourplex in Palm Beach and Broward counties for 2026.
How much down payment do I need for a duplex?
It depends on the program and on whether you will live there. FHA allows 3.5% down with a 580 or higher decision credit score. Fannie Mae conventional financing allows 5% down on an owner-occupied two- to four-unit property and 25% down on an investment property. VA loans often require no down payment for eligible veterans. DSCR loans commonly ask for about 20% to 25%, depending on the lender.
Can rental income help me qualify for a duplex or fourplex loan?
Often, yes, but each program counts it differently. FHA and VA use 75% of the lease or the appraiser’s market rent, and Fannie Mae uses 75% of gross rent minus the full housing payment. DSCR loans compare the property’s rent with its payment. Your lender will tell you which rent figure applies to your property.
What is the FHA self-sufficiency test?
It applies to three- and four-unit properties. The lender takes the appraiser’s market rent from all units, subtracts the greater of 25% or the appraiser’s vacancy and maintenance estimate, and compares the result with the full monthly payment. The payment cannot be more than 100% of that income. Three- and four-unit properties also need three months of reserves.
Can I buy a fourplex with a VA loan?
Yes. VA allows homes with up to four units when you live in one of them. If you want to use the rent from the other units to qualify, VA requires six months of reserves and evidence that you can manage rental property or use a property manager.
Do I have to live in the property?
For FHA, VA and owner-occupied conventional loans, yes. If you do not plan to live there, the property is an investment property and conventional or DSCR financing may fit.
Is financing one condo unit different from financing a whole duplex?
Yes. A whole duplex is a 2–4 unit property, and rent from the other units can help you qualify. A condo unit is financed as a one-unit property, and you also have to meet the condominium project and association requirements. FHA Single-Unit Approval requires at least five units, so a unit in a small condo building generally needs an FHA-approved project.
Official Sources Used on This Page
- HUD FHA Resource Center: three- and four-unit properties
- HUD: principal residence and occupancy
- HUD: minimum required investment
- HUD: minimum credit score and loan-to-value limits
- HUD: subject-property rental income
- HUD Mortgagee Letter 2025-23 (2026 FHA loan limits)
- Fannie Mae Eligibility Matrix (August 5, 2026)
- Fannie Mae: minimum reserve requirements
- Fannie Mae: subject-property rental income
- FHFA: 2026 conforming loan limits
- VA.gov: purchase loan
- VA Lender’s Handbook, Chapter 4
- Florida Statutes 193.1554 and 196.031
- FEMA and FloodSmart flood insurance guidance
- Florida Department of Financial Services: hurricane deductibles
Talk With Greg About Your Duplex, Triplex or Fourplex
Tell Greg whether you plan to live in one unit, how much cash you have and what rent the property may produce. He can compare FHA, conventional, VA and DSCR options from more than 25 wholesale lenders.
Final terms depend on the property, your credit, reserves, occupancy plans, market conditions and current program guidelines. Mortgages Done Right can help you compare options before you apply.