Hey everybody, I live in Salt Lake City Utah and I’m 30 years old. I’m just now wanting to start real estate investing. My first thought is purchasing my first home with my wife and renting the basement out. Do any of you have any advice on that? Also if you know the market in Utah, any tips on finding properties here for a good deal?
Real Estate Agent · Lehi, UT · Member since 2019 · 27 posts · 21 votes
5y
Hey Kyle, as a 3x house hacker personally and having helped many clients do the same, I would definitely recommend it. There are a few different ways to do it including a two-unit property (you need to be aware of zoning on that though depending on your long term plans for the property) where you rent out one side or buying a cheaper property where you live for a year and then move out and rent the whole thing. There are a lot of factors that go into deciding what the best route for you would be. As far as finding a good deal, that depends on what a good deal looks like for you. That definitely is different for every person depending on what you're hoping to accomplish. Not a lot of direct answers there, but if you'd like to direct message me I'd be happy to give you some more specific advice on your situation!
Real Estate Agent · Payson, UT · Member since 2020 · 12 posts · 4 votes
5y
My advice would be to pull the trigger and do it! Its a great way to get started in real estate investing and help supplement your mortgage cost. find properties for a good deal here in Utah can be tough in this market since everything is selling for above asking price, however there are other options based on what you can do financing. If you can do hard money or cash purchases, you can look at wholesale lists and eventually foreclosures (when they start foreclosing from covid). If you are stuck with financing then for the most part you'll have to stick to the MLS. Or you might be able to find a home owner who would want to do seller financing.
The house hacking homes go quick, so if you can't find one. Get a house with a unfinished basement and put the work in your self for a walk out entrance and 2nd apartment.
Real Estate Agent · Lehi, UT · Member since 2019 · 27 posts · 21 votes
5y
Hey Kyle, as a 3x house hacker personally and having helped many clients do the same, I would definitely recommend it. There are a few different ways to do it including a two-unit property (you need to be aware of zoning on that though depending on your long term plans for the property) where you rent out one side or buying a cheaper property where you live for a year and then move out and rent the whole thing. There are a lot of factors that go into deciding what the best route for you would be. As far as finding a good deal, that depends on what a good deal looks like for you. That definitely is different for every person depending on what you're hoping to accomplish. Not a lot of direct answers there, but if you'd like to direct message me I'd be happy to give you some more specific advice on your situation!
Real Estate Broker · Lehi, UT · Member since 2016 · 397 posts · 318 votes
5y
@Kyle Cornia I think that is a great strategy and perfect for getting started. I still rent out my basement and I absolutely love having it cover my mortgage. I don't think you can go wrong with that strategy as your first investment, and you will start getting ahead quickly by saving that monthly mortgage expense.