Can you house hack a townhome?

Question

Hi all,

I am in the process of saving funds to purchase my first property and plan to house hack. Sorry if this is a dumb question but can you house hack a townhome (assuming not part of an HOA)? My first option would be to buy a duplex and there are options around the area I am in (metro Atlanta area) but just was wondering this since I've seen some decent priced townhomes as well. Thanks for any help!

Nicole A. · Answer

Just make sure you clarify if it's truly a 2-unit property. There are some types of duplexes where two townhome/rowhomes are joined together, but they are actually 2 different properties.

Also, a HOA doesn't necessarily mean you can't househack. There are plenty of neighborhoods with HOAs where people are renting their properties or part of them. That's just something for you to look into during your research (aka "due diligence) on a possible deal.

Congrats on getting started! Just make sure that your excitement doesn't let you overpay for a property just for the sake of getting a property.

Jingru Sui · Answer

@Rodney Reeves

Make sure the HOA fee won’t kill your cash flow. Townhome HOA might have regulations on the outside look. Not so much regarding inside . Check HOA regulation before you buy. Good luck

Victor Nkhoma · Answer

@Rodney Reeves thanks man!

Victor Nkhoma · Answer

@Rodney Reeves this response/comment comes after 2 years but I kid you not, I’m literally in the same position right now, also in Atlanta and trying to jump into real estate by means of house hacking. Frankly, I want to know which route you ended up taking and how it’s working out for you? The good and bad. Thanks!

Anthony Fontana · Answer

@Rodney Reeves yes you can definitely house-hack a townhome, I have done it twice. You will just want to make sure that there are no HOA rent restrictions that could hinder your ability to rent the townhome when you decide to move out and turn it into a full time rental.

Reach out if you have any questions!

Juan Jackson · Answer

You can house hack a dog house if the dog is ok with it....lol. Good luck with your first purchase!

Rodney Reeves · Answer

@Raquel Doheny Thanks for the insight! I am not sure if I was reading some of the listings incorrectly on Zillow and Realtor, but it appeared they were listing both sides of the townhome together (i.e. 3 beds, 2.5 baths) so I would be purchasing the entire unit. I am still ultimately looking for a duplex since it would more than likely not have any HOAs to deal with. I have also heard they are a pain!

Dhwani Shah · Answer

@Rodney Reeves Finding this another year apart lol...I'm looking to house hack as well and looking at townhomes for that, mostly cause wifey wants a decent house all to ourselves and I want to house hack to get the benefits of FHA, live for 2 years, save on rent cap gain tax, become a RE investor finally, etc. And this would be our first home ever. Unfortunately, the area I'm looking at in PA, I haven't been able to find too many "nice looking" true multi-family homes. So, townhomes was my answer to this. So couple of questions as a newbie. Anything I need to be aware of during this crazy market times...I should or shouldn't buy now, etc.? How bad are the HOA fees (assuming HOA rules are not a problem)? I'm thinking as long as the other rent covers or mostly covers the mortgage and have an okay cash flow, it's a good buy, right?

Rodney Reeves · Answer

@Victor Nkhoma Good luck with your search! I ended up buying a single-family house in the Mableton area to house hack. Everything has been going pretty well with it so far (minus property tax increases because of the Braves stadium. Yay). I found good tenants rather quickly and have not had any issues with living with them. Like the others commented, the townhouse house hack could still work but I just found more value in having an SFH without any HOA dictating what I can/cannot do.

Send me a msg if you need any lender recommendations. My friend from college was incredible during the process and can help you make the right choice.

Can you house hack a townhome?

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