I'm a beginner trying to make sure my basic strategy makes sense. I've got plans to start a house hack in the next 2 months. Assuming everything goes well I'm wondering what the next step should be. I've gotten some advice to stay in the property long enough to buy another investment and do a 1031 exchange . I've also gotten advice that simply I should start going for cash flow propertys.
While there are many ways to cut it, a very common method to get your first few properties is to house hack your way using owner occupied and low money down mortgage loans. This requires little out of pocket, and you can still purchase up to 4 unit properties using these loan products.
Buy a house hack, live in it for a year...move out and repeat! depending on your DTI and credit score you can work with a bank or multiple banks to secure multiples properties before having to resort to your "investment funds" which you could save up over the years while you house hack.
@Dakota Ray. Congrats for getting started! It depends a lot on your goals, etc. I would highly recommend you get your hands on this book. Our friend, Craig, is a millionaire in his late 20s using this strategy. Warning: He is a radical! https://store.biggerpockets.co...