I’m wanting to begin real estate investing. I’d like to house hack, though I’m not sure house hacking a single family home is right for my current situation. My question is, does it make sense to purchase a single family house with 3.5% down, live there for a year, buy another and rent the first one out? Thanks in advance for the help!
Real Estate Investor · Milford, PA · Member since 2014 · 395 posts · 299 votes
5y
Then Make It Happen.
Create a list of every duplex tri quad you would live in and start mailing letters and making calls. How about sitting in front of a tri and calling the owner and saying Hey I'm out here in front of you tri-plex over on highland in Dayton. Did you know the gutter is hanging off the roof? or that there is a bathtub in the parking lot or just saying "I'm sitting in front of your tri-plex in Dayton. It's a good looking property have you ever thought of selling?" Don't wait for it to come to you get out there and get it.
@Neil Schoepp that is my plan as of now! Unfortunately, the duplex and triplexes that I’m currently being sent aren’t in areas that I’d be comfortable living with my wife. Hopefully something becomes available, but if that isn’t the case I was looking at the single family option I mentioned?
Real Estate Investor · Milford, PA · Member since 2014 · 395 posts · 299 votes
5y
Then Make It Happen.
Create a list of every duplex tri quad you would live in and start mailing letters and making calls. How about sitting in front of a tri and calling the owner and saying Hey I'm out here in front of you tri-plex over on highland in Dayton. Did you know the gutter is hanging off the roof? or that there is a bathtub in the parking lot or just saying "I'm sitting in front of your tri-plex in Dayton. It's a good looking property have you ever thought of selling?" Don't wait for it to come to you get out there and get it.
Real Estate Agent · Baltimore Maryland · Member since 2019 · 98 posts · 74 votes
5y
This is definitely a strategy that many people take. Just keep in mind your goals. Recognize that for the first year, you won't cash flow anything because you'll be paying your own mortgage. And it will take a few years (depending on the rental income vs. mortgage payment of your properties) to actually cash flow a significant amount of money. But if you're thinking more long term, in 10 years, you'll have 10 properties, a good amount of equity, and some monthly cash flow. Good luck!
@Chinyere Orie thanks for the reply! My plan while doing this, is to also be able to save enough to buy other rental properties using other methods rather than just house hacking if I can!
@Chinyere Orie thanks for the reply! My plan while doing this, is to also be able to save enough to buy other rental properties using other methods rather than just house hacking if I can!
Awesome! Definitely sounds like a very low risk investment strategy because appreciation in the long term is pretty much guaranteed. Good luck!