When should I start using “house hacking”?

Question

Hi! So first things first, I am new to the bigger pockets forum and love the idea, hopefully someone could help me figure this out.

I am in the process of building my credit, just got a CDL for better income on papers & to cut monthly expenses I’m in the process of building a tiny home to save on rent. Now I know I won’t want to do this forever and I’ll want at least a regular sized apartment at some point but for the sake of trying to present a good amount of cash flow on paper I figured I could tough it out for a while. Now I believe that if I did want to start house hacking that it would probably make more sense to wait till maybe my 3rd building. From what I’ve understood, you need at least 6 months to a year for lenders to be able to approve you for your next loan. Which means at least 3 years till my 3rd building after the purchase of my first. Should I carry out this plan? Am I accurate on my understandings? Suggestions for starting out? I would like to build a big portfolio. Also should I buy and hold or BRRRR?  Thank you!

John Warren · Answer

@Eshmield Ruberté you should talk to an investor friendly lender ASAP! You may be able to start much sooner than you think. For instance, if your lender is able to prove that you haven't changed careers, then you can buy right away. I am not a fan of tiny houses, as I think they are a bit of a fad. Why not just rent a room from someone for a while for cheap? Or get a crappy camper and then ditch it when you are done? I feel like campers are essentially the same thing as tiny houses, and both are going to LOSE value.