HouseHacking Starting Out
Hey BP members,
So I understand the concepts and numbers behind BRRRR, flipping and some other strategies but I am wondering which calculator to use, or what exceptions to make within another calculator to analyze a property I would like to acquire.
It would be sort of a househack/fixandflip/buy and hold depending on which opportunity presents itself once I am ready to move out. It's a nice 3BR1BA house which needs no major repairs and could use cosmetic upgrades such as paint, flooring, landscaping, appliance and cabinet upgrades possibly (which I will all be doing myself while living there). There is a double-wide trailer on the property as well which rents for 550 and is currently occupied, same tenant would like to stay when property is sold.
My question is if my mortgage on the property is say 350 and it's renting for 550 won't I technically be negatively cash-flowing due to the probability that the 40% cushion initially factored into the deal will probably cause me to have to put a small amount of money in monthly? Or is this still ok due to my living in the other unit and essentially not paying any rent/full mortgage monthly?? Basically want to hear from anyone who has done an FHA loan w/ or w/out a 203k attached on a similar property or even a duplex?
Thanks in advance!