For example, your primary residence is considered owner-occupied (obviously). It sounds simple, and it is, but the distinction is blurrier than you might think. The term “non owner occupied mortgages” simply means that the owner (you) won’t be using the property as their primary residence. All you need to do is click the link below to get started.Ĭlick for a FREE Strategy Call What Does “Non Owner Occupied” Mortgage Mean? However, before we begin breaking down the difference if you would like to learn more about how non owner occupied mortgages can be used to help you leverage real estate and invest like a pro, book a free strategy call with us today.

So what’s the difference between the two, and how do the rates differ from one type of loan to another? There are two major types of residential mortgages: an owner-occupied mortgage and non owner occupied mortgages. The only thing that will change during this process is the type of residential mortgage for which an investor qualifies.

When working at this level, investors will need to secure a residential mortgage, much like the one they got when they bought their first home. Most investors starting out in real estate start small, by purchasing single-home or small multi-unit buildings. As a result, the criteria for non owner occupied mortgages is different. When you enter the world of real estate investment, that all changes with the introduction of non owner occupied mortgages.Īs you begin searching for the first property in your portfolio, you might find the mortgage process rather bumpier for one simple reason: you won’t be living in the property you’re buying. The interest rates are low, the lenders are friendly(ish), and the whole process tends to be somewhat gentle. When a first-time homebuyer applies for a mortgage, the process is relatively simple…or, as simple as the mortgage process gets, at least.

How Much Higher Are Non-Owner Occupied Mortgage Down Payments? With Scott Dillingham.Discover How To Apply For An Investment Property Mortgages With This Step By Step Guide.What Does “Non Owner Occupied” Mortgage Mean?.

What does occupied mean