I am currently trying to find a SMF I can house hack in Sacramento, however all the units I've come across so far have "tenants that would like to stay" in BOTH/ALL units. Is there any way around this problem? Is there an easier way to find a SMF with at least one vacant unit I could live in?
Note: This will be my first property and house hacking a multi-family is looking like the best solution for me to get into the RE game, provide cheap/free housing, cashflow (at the very least, after I move out), and meet the FHA/conventional with <20% down requirements.
Real Estate Agent · Kansas City · Member since 2018 · 4k+ posts · 3k+ votes
5y
No way around it. You could offer higher with a longer close so tenants can vacate. You have to be patient since MF that can be house hacked isn't as common as fully rented out MF
Real Estate Investor · Sacramento · Member since 2015 · 20 posts · 4 votes
5y
You can get the existing tenant out with 120 day's notice if you plan to occupy the unit. Below is from the city website for tenant protection program.
Owner move-in. After providing at least 120 days’ advance written notice to the tenant, the landlord seeks to recover possession of the rental unit for use and occupancy as landlord’s primary residence or the primary residence of a member of landlord’s immediate family for at least 12 months. In this case, landlord must be a natural person with at least 51% ownership of the rental unit.
Thanks @Kyle Murphy! Do you know if lenders would be okay with that 120 day delay in me not living in the house? Or would I need to negotiate a longer closing as @Caleb Brown mentioned?
Property Manager · Bay Area-Greater Sacramento · Member since 2021 · 94 posts · 51 votes
5y
@Alyssa Davis Just note right now that the evictions courts are still currently closed, so even if the proper notice is given it will be hard to take any necessary action if they decide not to abide by the termination date. If you do have to evict as well when the courts do open this can take several additional months and quite a large amount of legal fees dependent on how long things take.