Start w/ Investment or Personal?

Question

Hello everyone,

I have been looking for investment properties for while now and either can't find a good deal or get out-bid every time.

Long story short, I still live at home and am at a point in my life where I need to get a place of my own.

I've been wanting to get a duplex to live in one side and rent the other but am having no luck in my area.

Should I hold out until something pops up or just get a place of my own for now?

I feel that getting a loan for an investment property would be more difficult if I am holding a mortgage on a place of my own.

Is this accurate?

I've even considered building a duplex or triplex since none are available.

Any insight on this would help greatly !

Rick Albert · Answer

There are different ways to house hack.  You can rent out by the room or by the unit.  It comes down to your comfortability.

With 2-4 units, you would qualify for a higher loan amount because they factor in the income from the other units.

Whenever I write offers that are not accepted, I always ask for feedback as to why the other offer got accepted.  This allows me to strategize differently going forward and also understand the market.  Make sure your agent asks when the time comes.

Alternatively, go for the low hanging fruit.  Those are properties that have been sitting on the market.  It is usually because the listing agent is doing a horrible job or the price is too high.  In either case, go for it.  Keep in mind 14 days could be considered an aged listing.

Good luck!

Danielle Jackson · Answer

Many get started with your strategy (duplex and living in one unit), and its a great way to do it. Can you expand your search area at all?