DeedWorthGuide · QuebecDuplex vs Triplex vs Fourplex: Which to Choose as an Owner-Occupant?
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In brief — All three can be financed as an owner-occupant with a low down payment, but the balance shifts with every unit added: the duplex needs the least down (5%) and is easiest to manage; the triplex and fourplex require 10% but generate more income to cover your own unit. The line not to cross: at 5 units, you leave owner-occupied financing for multi-unit.
Living in one unit and renting the others — "house hacking" — is the classic entry to real estate investing. The question is size. Two, three or four units: each step adds income, but also down payment, management and a different qualification. Here is how to decide.
The comparison
| Duplex (2) | Triplex (3) | Fourplex (4) | |
|---|---|---|---|
| Min. down payment (occupied) | 5% (then 10% > $500,000) | 10% | 10% |
| Rented units | 1 | 2 | 3 |
| Income to cover your unit | Low | Medium | High |
| Management | Simple | Medium | Heavier |
| Financing | Owner-occupied insured | Owner-occupied insured | Owner-occupied insured |
Beyond four units, you move to MLI Select multi-unit financing, with different rules and down payment.
What pushes toward more units
- More income to house yourself. Three rents (fourplex) cover a far larger share of your payment than one (duplex). This is the maximum house-hacking effect.
- Better qualification. Part of the rent from the leased units counts toward your borrowing capacity, so more units can help you qualify.
- Better economies of scale. Roof, land, taxes: fixed costs spread over more units.
What pushes toward fewer units
- Less down payment. A duplex can be financed at 5%, versus 10% for a triplex or fourplex — a decisive gap when capital is the limiting factor.
- Less management and rental risk. One tenant means less vacancy to manage, less wear, fewer disputes.
- Broader resale. A duplex also appeals to owner-occupant buyers, not just investors — better liquidity.
The golden rule: don't exceed four
As long as the building has 1 to 4 units and you occupy one, you stay in the low-down-payment mortgage-insurance regime. At the fifth unit, the building becomes multi-unit: financing runs through programs like MLI Select, with different requirements. The fourplex is therefore the ceiling of the "first plex, low down payment" strategy.
Decide on numbers
The right choice depends on actual rents, price and your capital. DeedWorth compares the same project as an owner-occupant — down payment, cash flow and after-tax return — to see which one holds up. Analyze a plex with DeedWorth →
FAQ
Is it better to buy a duplex or a triplex? The duplex needs less down (5%) and is simpler to manage; the triplex requires 10% but two rents cover a larger share of your unit. The choice depends on your capital and your appetite for management.
Is a fourplex still eligible for owner-occupied financing? Yes. Up to four units with one occupied, low-down-payment mortgage insurance applies. At five units and up, you move to multi-unit financing.
How much down payment for a fourplex? As an owner-occupant, 10% minimum. As a pure rental, 20%. See the details in the down payment for a plex guide.
Are more units always better? Not necessarily: more income, but more down payment, management and rental risk. The optimum depends on your capital and the time you want to spend.
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For information only, not advice. Financing rules change; confirm your project with a lender or mortgage broker. Last verified: July 2026.