Fresno, CA · Member since 2015 · 145 posts · 59 votes
Does anyone know if a house-hacking calculator exists? Or how a "good" house-hack could be calculated? I imagine one standard calculator couldn't exist to evaluate all deal around the country just because there are markets that are tougher such as LA.... So I guess the same calculator could be used but any baseline %'s would have to fluctuate depending on what market you are looking to accomplish this in. Anyone having any info on how to calculate such a deal would be greatly appreciated.
Do the calculations as with a conventional rental property making the assumption you would also be paying as a renter. Since the end goal is to move on and rent the entire property it must meet that criteria from the beginning.
The only factor that is different is the mortgage requirements.
Fresno, CA · Member since 2015 · 145 posts · 59 votes
10y
Thank you @Thomas S. I guess I was overthinking imagining that it would be a different calculator... what do you mean by the only different factor is the mortgage requirements?
Malden, MA · Member since 2016 · 112 posts · 63 votes
10y
Nicole Jones I believe he was referring to if you're owner occupying you're more than liking getting a FHA loan so you can put down a lower down payment. Here in MASS (probably the same in other states) you have to pay a monthly fee for PMI (private mortgage insurance) which you have to pay as long as you have the FHA loan
Fresno, CA · Member since 2015 · 145 posts · 59 votes
10y
I'm aware of PMI. I always try to avoid it. Thank you @Andrew Beaver! I'm more just curious if there's ANOTHER calculator besides the ones we all know of that would help someone to stay within a certain ROI while House Hacking. I could use a regular calculator and just account for myself renting one unit but in that case I would almost never be able to reach the numbers that "good deals" fall under in the traditional non owner occupied investments. Again maybe I'm over-thinking the idea.... But thanks for your input. I appreciate it!
Investor · Verona, NJ · Member since 2014 · 1k+ posts · 832 votes
10y
If i understand what you are looking for, is a calculator that will tell you, for the year that i am in the house, what is my rental income minus expenses and then when i leave what will my new income minus expenses be and what did i save/ make by house hacking vs. buying the property and fully renting it with a conventional loan ? you almost have to use a mortgage calculator that compares two mortgage loans, they are out there, just do a search for that. that will really be your only difference, your time is money, so any time you spend on maintenance and Property Management should always be figured in the numbers.