FHA Loan for a Florida Duplex: How to Live in One Unit and Rent the Other

FHA loans allow you to purchase a duplex, triplex, or fourplex with just 3.5% down — as long as you live in one unit as your primary residence.

This makes FHA loans one of the easiest ways to start building wealth through real estate while keeping your housing costs low.

Check Your Florida FHA Loan Eligibility

In this guide, you’ll learn exactly how FHA duplex loans work, what the requirements are in 2025, and how to qualify faster using rental income from the other unit.

What Is a Florida FHA Duplex Loan?

An FHA duplex loan is a government-insured mortgage that lets you buy a 2-unit residential property (or even up to 4 units) using FHA’s low down payment and flexible credit rules.

Unlike conventional loans that often require 20% down, FHA loans need as little as 3.5% down, even for multifamily properties — as long as you occupy one of the units.

FHA Duplex Loan Requirements (2025)

Florida FHA lending rules for duplexes mirror those for single-family homes, with a few added guidelines for multi-unit properties:

Tip: You can use up to 75% of projected rental income from the other unit(s) to help you qualify.

Step-by-Step: How to Buy a Duplex With an FHA Loan

Follow this simple five-step FHA duplex buying timeline to understand exactly what happens from pre-approval to closing.

Each stage moves you closer to owning a duplex where you can live in one unit and rent out the other — the perfect start to building long-term wealth.

Benefits of Buying a Duplex With an FHA Loan

1. Low Down Payment (3.5%)

Traditional multifamily loans require 15–25% down. FHA lets you start with 3.5%, dramatically lowering your entry cost.

2. Use Rental Income to Qualify

You can include future rent from the second unit to boost your qualifying income — unique to FHA.

3. Build Equity Faster

Every rent check helps you pay down your mortgage faster while property values appreciate.

4. Live Almost Mortgage-Free

With the right duplex, rental income can cover most (or all) of your monthly payment — the essence of house hacking.

5. Flexible Credit Standards

FHA loans are far more forgiving on credit scores and past financial challenges than conventional loans.

How Rental Income Helps You Qualify

FHA Duplex Loan Limits in Florida (2025)

Most of Florida falls under the standard FHA duplex limit of $671,200, but Monroe County qualifies as a high-cost area with limits up to $1.23 million — the highest in the state.

Check your county’s exact limit at HUD.gov/fhalimits

FHA Self-Sufficiency Test (For 3–4 Units)

If you’re buying a triplex or fourplex, FHA requires that expected rent from all units covers the full mortgage payment.

This rule does not apply to duplexes — one reason they’re the easiest entry into multifamily ownership.

Funding Your Down Payment

Acceptable FHA down payment sources:

• Personal savings or checking account

• Retirement or investment account withdrawals

• Gift funds from relatives

• Down payment assistance programs

Unacceptable sources:

• Cash under the mattress

• Funds from the seller, lender, or agent

Tips to Succeed With an FHA Duplex

1. Work with an experienced FHA lender.

2. Buy below your max budget so you have a safety cushion.

3. Screen tenants carefully. Use background checks and leases.

4. Budget for repairs. Duplexes have double the systems (two HVACs, etc.).

5. Keep proper insurance. Consider a landlord or rental rider on your homeowner’s policy.

6. Track rental income. Keep records for taxes and refinancing.

Alternatives to FHA for Duplex Buyers

Frequently Asked Questions

Can I buy a duplex as an investment with an FHA loan?

No. You must live in one of the units for at least 12 months. After that, you can move out and rent both.

Can I use an FHA 203(k) to fix up a duplex?

Yes. The FHA 203(k) program lets you finance renovation costs into one mortgage — perfect for duplexes needing repairs.

What credit score do I need?

580 is the official minimum, but many lenders prefer 620+ for multi-unit properties.

Can I use rental income from roommates?

Only if it’s from a separate legal unit. FHA does not count “roommate” income in a single-unit home.

Can I own another property and still get an FHA duplex?

Yes, if you can prove the new duplex will be your primary residence.

Final Thoughts: FHA Duplex = Smart Wealth Move

Buying a duplex in Florida with an FHA loan lets you:

• Live affordably

• Build equity

• Earn rental income

• Enter real estate investing with minimal capital

For many first-time buyers, it’s the smartest first step toward financial independence and long-term wealth.

Check Your Florida FHA Loan Eligibility