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[quote=Anonymous][quote=Anonymous][quote=Anonymous]
You bought a rental property as an INVESTOR or for PERSONAL USE? There's a big difference in treatment by your underwriter. And yes, you generally need to keep the existing tenants if you intend to rent it out as an investor. Same thing happens in DC.

But OP is talking about personal use of the home, which is a much different scenario from and underwriting and housing regulations standpoint. [/quote]

If you buy a rental property with the intended use of personal occupancy, but there's an existing tenant who holds a lease whose term continues beyond the closing date, the mortgage underwriter won't approve the loan as a principal residence. That's because the title report will turn up an obvious encumbrance inconsistent with the intended use: the existing lease.  You'll be able to obtain financing only as an investment property, which has a lower LTV requirement and substantial loan level price adjustments. [/quote]

I'm the PP that the PP you quoted was replying to (my post was cut off in the reply).  I am the one who was in the same situation as the OP.  In MD.  I addressed these things.  I said the loan would be 0.5 - 1.5 % higher.  And 20% down is required.  [/quote]

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