Quadruplex

4-unit properties are appraised under the residential 2-4 unit standard (Form 1025) using both the sales comparison and income approaches. Both approaches inform the final value: sales comparison anchors to recent fourplex sales, while the income approach uses gross rent multipliers and market rent analysis. The reconciliation weighs both indicators based on data quality and market evidence.

Fourplexes offer the maximum benefit of residential financing — you get 4 units of rental income while still qualifying for residential mortgage programs (FHA, conventional, VA). With owner occupancy of one unit, you can use FHA financing as low as 3.5% down to own a 4-unit property. This is one of the most efficient paths to small multifamily ownership in LA County.

Yes. FHA allows owner-occupied 4-unit purchases with down payments as low as 3.5%. You must occupy one unit as your primary residence for at least one year. Rental income from the 3 non-owner-occupied units typically counts toward your qualifying income. Our fourplex appraisals meet FHA standards including MPR/MPS checks and Form 1007 market rent analysis.

Many older LA fourplexes are subject to local rent stabilization. Below-market rents reduce income approach value, but if comparable sales are also rent-controlled with similar income, the sales comparison value may not be materially affected. We analyze rent control status carefully and explain the value reconciliation. Vacancy-decontrol opportunities can be a significant value driver in rent-controlled properties.

Many LA fourplexes have non-permitted units, garage conversions, or non-conforming additions. We document what we observe and the legal configuration. If there are unpermitted units, the appraisal typically reflects the legal configuration with explanatory notes about the unpermitted areas. Lenders vary in their treatment; transparent documentation lets the lender make informed underwriting decisions.