Post-House Hack Strategies

Cedar Rapids, Iowa
Cedar Rapids Real Estate Forum
6yFollow

Post-House Hack Strategies

Brandon Phillips
Real Estate Agent · Des Moines, WA · Member since 2019 · 37 posts · 8 votes

First house hack, located 2o minutes south of Seattle, closing soon. Am already thinking about what the next deal is going to be in 1, 2, and 3 years from now. Any suggestions for leveraging this property for the next deal?

2Reply
23 views

Most Popular Reply

Michael HaasBusiness Member
Real Estate Agent · Redmond, 🌧️ Seattle Investor-Agent | 🤑 Helped 400+ Clients Invest in Real Estate | 🏘️ Owns 23 WA Rentals & Airbnbs | 🏗️ Built 5 DADU's | 📈 You Can Do It Too · Member since 2016 · 724 posts · 3k+ votes
6y

I'd try to house-hack 2-3 properties, then switch to BRRRR / Commercial / Flips. There's no reason to stop at the first househack unless you really really hate moving, as the bank will give you another owner occupant loan after 12 months.

[email protected]408-439-7873
HouseHack Seattle | Michael Haas & Team572 Reviews
WebsiteView Page
5Reply
See this reply in the discussion

5 Replies

Jump to latestLatest
  • Michael K GallagherBusiness Member
    Real Estate Agent · Columbus OH · Member since 2018 · 1k+ posts · 1k+ votes
    6y

    @Brandon Phillips congrats!  I'm in a similar situation with my duplex that I'm hacking at the moment.  I have a couple limitations in that last year I decided to start my own consulting company so my wife's income is the only income that counts for us at the moment, oh and the rental income obviously.  So our current strategy is pretty specific.  We are looking for a single family home, so that we can get an owner occupied loan with 5% down.  We have a very specific area of town that we are looking in where we know a huge corporate headquarters is currently being built.  So our strategy is find a SF that we'd like to live in for about 2 years, rent both sides of our duplex, and then hopefully the single family we find either already has a double master, or buy one that we could add a double master.  That way when the headquarters is complete in 2022 we will be in a position to rent that out hopefully to some young professionals and get a premium for it since it is designed to be roommate friendly.  

    I've had a couple more Duplexes come my way but the financing is really the sticking point for me at the moment.  I will probably end up leveraging the equity in both this and our next property however for the third one.  Probably not the fastest strategy for growth but it works for our personal goals.   

    [email protected]614-362-2231
    1Reply
  • Michael HaasBusiness Member
    Real Estate Agent · Redmond, 🌧️ Seattle Investor-Agent | 🤑 Helped 400+ Clients Invest in Real Estate | 🏘️ Owns 23 WA Rentals & Airbnbs | 🏗️ Built 5 DADU's | 📈 You Can Do It Too · Member since 2016 · 724 posts · 3k+ votes
    6y

    I'd try to house-hack 2-3 properties, then switch to BRRRR / Commercial / Flips. There's no reason to stop at the first househack unless you really really hate moving, as the bank will give you another owner occupant loan after 12 months.

    [email protected]408-439-7873
    HouseHack Seattle | Michael Haas & Team572 Reviews
    WebsiteView Page
    5Reply
  • Brian G.
    Rental Property Investor · Los Angeles, CA · Member since 2013 · 1k+ posts · 1k+ votes
    6y

    @Brandon Phillips the reduced housing cost from your house hack should increase your savings rate. Use that money and any other money you can squeeze out over the next year to buy your next house hack. Do it again!

    1Reply
  • Brandon Phillips
    OP
    Real Estate Agent · Des Moines, WA · Member since 2019 · 37 posts · 8 votes
    6y

    @Michael K Gallagher How did you learn about the Corporate headquarters construction? What are your sources? Local News?

    0Reply
  • Michael K GallagherBusiness Member
    Real Estate Agent · Columbus OH · Member since 2018 · 1k+ posts · 1k+ votes
    6y

    @Brandon Phillips Yes it was pretty public in the news, and I have a cousin who works for the company so I had a little bit of insider info on it from that end.  And My wife is in PR so she is always tapped into the development of the city and the media.  Its currently under construction with a huge sign on it so its no secret....I just don't think anyone is really thinking 3-5 years down the road what that means for the area in which it is being built.  Or maybe they are...but prices in that area are still very affordable.


    As an update we actually went into contract on a SF in that area over last weekend and are hoping to close on it at the end of the month.  Ended up finding one that was just flipped, and done very well.  The price per square foot was super reasonable so we passed on a fixer upper and just decided to make the move to this new place which would allow us to rent both sides of this duplex.   

    [email protected]614-362-2231
    1Reply
Join the conversationCreate a free account to reply, vote on answers and follow this thread.
Log InJoin for Free