Hi BP,
Just wanted to share a client success story for a client, and college roommate I represented during their 2nd house hack purchase.
Dan purchased his 2nd house hack property in Leesburg, VA.
2016 Purchased a 2 bed/ 2 bath townhome in Leesburg, VA for $235,000
Mortgage: $1,850/month
3.5% FHA Loan (Total Cash Invested $14,000)
While Living there rented out a room for $1,000/month.
Lived for $850/month for 2.5 years
Recently purchased 3 bed/ 2.5 Bath Townhome for $360,000
Appraised at $375,0000
5% Down ( total cash invested $17,500)
Mortgage: $2,250/month
Has roommate moving in for $850/month.
Dan's current situation:
1st Property rented for $2,000/month
$150 gross positive cash flow
2nd Property
Currently Living in Upper level, has full office and full basement to his leisure.
Renting out room for $850/month.
Lives for $1,400/month
Dan now owns $650,000+ of real estate at 27 years old that is being paid off by tenants and himself currently, in a potential appreciating location, while only investing $34,500 cash.
House Hacking is a very powerful tool, especially in high price point locations like the DMV and Washington DC.