If two people buy a property as an equity share, assuming all other things are equal, on what basis does the bank determine the loan rate: as an owner occupied, or as an investment property?
While there have been a few lenders over the years that have priced such loans as O/O, Fannie Mae/Freddie Mac guidelines require such a loan to be underwritten and priced as an investment property, so most lenders do the same.
My wife and I bought our home with my mother-in-law, who is the non-occupant co-borrower. We got the loan from Thornburg Mortgage, who priced it as an owner-occupied. However, that was almost two years ago, so they may have revised their guidelines since then. At the time, though, Thornburg was the only lender we could find who would do it that way.