Buy rental now or house hack next year?

Question

Hi everyone, I'm a 22 year old living in Akron, Ohio. I'm the marketing coordinator at a company in the area and living at my parents as I save money. With that being said, I will be getting married next year and plan to house hack with my wife. Would you recommend buying a property now to rent out then buy another next year to house hack or just wait until next year and start with the house hack? I'm eager to get started, but it seems like house hacking is a good way to ease into real estate investing

Theresa Harris · Answer

Why not buy a place now and house hack?  If you are living there, you can do a smaller down payment.  Look for a duplex, so you still have your own space.  Once you get married, you and your wife can look for another duplex and fully rent out the first one.  Yes your living costs will go up a bit as you won't be living with your parents (assuming they aren't charging you rent), but if done right, the tenant should be paying most of the expenses.

Jen R. · Answer

House hacking is an excellent way to get started! I recommend working on building up your down payment and reserves. Work on your credit to get access to the best interest rates; start working with a lender now to discuss new homebuyer programs. Read and take lots of notes about property management and tenant screening. If you’ve done all that - go for it! Winter can be a good time to find a deal on a property as opposed to waiting until summer, and interest rates are crazy low right now.

Hope that helps, and good luck!