Non-owner occupied is a term used in mortgage origination, risk-based pricing, and housing statistics for one- to four-unit investment buildings. The categorization indicates that the owner does not live on the property. Non-owner occupied is not a phrase commonly applied to multi-family rental structures such as apartment complexes. Non-owner occupied is a real estate categorization that indicates that the owner does not use the property as their primary residence. The correct designation of a property as non-owner occupied is critical for lenders to determine the interest rate they will charge borrowers and ensure they are fairly paid for the risks they face when lending money.