Primary Residence Washington, DC House Hack

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Primary Residence Washington, DC House Hack

Cassidy BurnsBusiness Member

Investor · Alexandria, VA · Member since 2016 · 859 posts · 460 votes

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $510,000
Cash invested: $18,000

House Hack (current primary residence). 3 bed/ 3 bath condo. Rent out 2 of the bedrooms for $1,250 & $1,350/month each.

[email protected]540-960-1507

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Simone Williams

Rental Property Investor · MD (maryland) · Member since 2018 · 6 posts · 1 vote

Congrats!! Looking to house hack in DC as well!

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Brandon Frulla
Real Estate Agent · Omaha, NE · Member since 2018 · 83 posts · 51 votes
7y
@Cassidy Burns what are some of the other numbers? Mortgage payment, utilities, other expenses, overall cash flow?
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Loretta Gray
Real Estate Broker · Alexandria, VA · Member since 2018 · 89 posts · 30 votes
7y
That's killer!
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Cassidy BurnsBusiness Member
OP
Investor · Alexandria, VA · Member since 2016 · 859 posts · 460 votes
7y
@Brandon Frulla, sorry I didn't even notice that people could see the thread as I add the investments to my page! But the condo fee is $321/month and the PITI is $2,859.36/month. = all in monthly payment of $3,180.36 - $2,600/month from roommates.
My all in monthly payment is a whopping ......... $580.36.
Also, I have seen great appreciation . I could sell this condo today for $649,900 in the Washington, DC current market. But instead I am going to be doing a HELOC for 90% of the ARV and using that $$$ to purchase other investment properties . This is actually the way I think most investors should get started, especially if they are in higher priced markets such as Washington DC. Like I said, I have only invested a total of $18,000-$20,000 into this property.
Happy investing!
[email protected]540-960-1507
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Cassidy BurnsBusiness Member
OP
Investor · Alexandria, VA · Member since 2016 · 859 posts · 460 votes
7y
@Loretta Gray Thank you!
[email protected]540-960-1507
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Shadonna N.
Developer · . · Member since 2014 · 520 posts · 162 votes
7y
Smart move
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Jason Chan
Washington DC · Member since 2018 · 15 posts · 3 votes
7y
Awesome!! Where are u located?
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Rick Moccino
Washington, DC · Member since 2017 · 11 posts · 0 votes
7y
How did you get away with so little money in? What kind of financing / financing terms did you get?
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Stephanie P.Pro Member
Washington, DC Mortgage Lender/Broker · Member since 2016 · 4k+ posts · 2k+ votes
7y
Originally posted by @Rick Moccino:

How did you get away with so little money in? What kind of financing / financing terms did you get?
I'm guessing FHA
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Simone Williams
Rental Property Investor · MD (maryland) · Member since 2018 · 6 posts · 1 vote
7y
Congrats!! Looking to house hack in DC as well!
1 Reply
Timothy M.
Arlington, VA · Member since 2015 · 60 posts · 100 votes
7y
If your PITI is 2859, what's the PMI like...? Another 400 or so?
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Shadonna N.
Developer · . · Member since 2014 · 520 posts · 162 votes
7y
Given the appreciation, the PMI can be eliminated with a refi.
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Henry Bronez
Arlington, VA · Member since 2017 · 4 posts · 0 votes
7y
@Cassidy Burns Nice work, my wife and I are thinking this is the best (and possibly only) way to break into the market ourselves. Would love if we can find a duplex around South Arlington or Alexandria in the same price range.
Did you rehab at all before renting the other 2 rooms out or bring roommates in as soon as you could after closing?
Did you find it off market or through the mls?
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Adam Bankoff
Alexandria, VA · Member since 2019 · 7 posts · 1 vote
7y
@Henry Bronez I'm currently looking to house hack myself in Alexandria,VA. I've had no luck with finding multifamily homes around here have you? I'm likely going to House hack a town house instead. Also any recomendations for real estate agents in the area that are cash flow investment smart?
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Account Closed
Rental Property Investor · Brooke Park Drive · Member since 2018 · 1k+ posts · 2k+ votes
7y
Id like to get another arlington property and build a rentable ADU in the back. Closest I'll get to a duplex. Fill all the rooms with amazon proprammers.
https://www.arlnow.com/2019/03/07/county-readies-zoning-changes-to-encourage-construction-of-new-detached-accessory-dwelling-units/
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Henry Bronez
Arlington, VA · Member since 2017 · 4 posts · 0 votes
7y
@Adam Bankoff not particularly. I've come across pockets here and there in older parts of Arlington and Alexandria but not much for sale that wasn't renovated into luxury flips already. No recommendations on realtors, haven't used any, Mostly reading up, exploring the area and learning what I can before my wife finishes school and we have $ to put into RE. Figure we start looking now to have a better idea of where and what we want when we're able to buy then hopefully hack it and go from there.
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Cassidy BurnsBusiness Member
OP
Investor · Alexandria, VA · Member since 2016 · 859 posts · 460 votes
7y
@Timothy M. All in my mortgage is $3,190.63. PMI is $320/month that is included in the PITI. Condo fee is $321/month.
@Shadonna N. yes I could do a refi, but my interest rate is so good, I don't really want to refi out of the loan. 3.5%
@Henry Bronez I bought a new construction condo. I wasn't in the financial position to do any rehab w/ upfront money so I went with the turnkey option. This was my listing so I had it off market essentially. House hacking is single handily the best option to do in Washington DC in my opinion. I am currently purchasing another as my primary with a 5% down loan! Turning this one into a long term rental . It will rent for $3,500-$3,750/month.
@Adam Bankoff I would say that I can definitely help you with this. I work with mostly long term investors. Give me a shout.
[email protected]540-960-1507
1 Reply
Cassidy BurnsBusiness Member
OP
Investor · Alexandria, VA · Member since 2016 · 859 posts · 460 votes
7y
@Rick Moccino I used a primary residence 3.5% FHA loan for this purchase!
@Jason Chan I am located in Washington DC
@Stephanie P. yes FHA loan!
@Simone Williams best investment strategy in DC in my opinion.
[email protected]540-960-1507
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Stephanie P.Pro Member
Washington, DC Mortgage Lender/Broker · Member since 2016 · 4k+ posts · 2k+ votes
7y
Originally posted by @Adam Bankoff:
@Henry Bronez I'm currently looking to house hack myself in Alexandria,VA. I've had no luck with finding multifamily homes around here have you? I'm likely going to House hack a town house instead. Also any recomendations for real estate agents in the area that are cash flow investment smart?
Try @Russell Brazil
1 Reply
Michele Z.
New to Real Estate · Augusta, GA · Member since 2019 · 96 posts · 34 votes
6y
@Cassidy Burns - hello again! I'm curious how the house hack part worked out for you, where'd you find the renters, what were your qualification standards (assuming more than just $$ since you were/are living with them), do you act like a fellow renter or do they know you own it? That kind of thing. We're considering doing something similar down in Augusta as a dry run for the DC area, but we also have a kid so I'm not sure how that will work.
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Cassidy BurnsBusiness Member
OP
Investor · Alexandria, VA · Member since 2016 · 859 posts · 460 votes
6y
Hi Again @Michele Z. !
This unit has worked out great. I lived in the property for 3 years until I purchased another 1 bed/ 1 bath unit in Washington DC. But it stayed 100% occupied while I was living there. 2 of the roommate that I left are actually still there.
-2 from Facebook Marketplace
-1 from Zillow
Yes they definitely knew that I owned the property. They paid rent through cozy.co monthly and then would venmo me for their share of the utilities which I would put into my account since they utilities were in my name.
Having a child may be a little harder with other living inside the same unit (but completely up to you and your family situation). Maybe buying a duplex / triplex could be the best strategy for you so you will have your own unit and rent the other 2 units out. You could maybe try AirBnB on 1 of them as well to try to drive a higher return while the bylaws still allow it.
I suggest house hacking to most beginner RE investors as its a great way to :
-Decrease Expenses
-Purchase an asset with low money down (3-5% down)
-Gain landlording experience
-Stop paying rent and start building equity.
Good luck!
[email protected]540-960-1507
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Michele Z.
New to Real Estate · Augusta, GA · Member since 2019 · 96 posts · 34 votes
6y
Thanks for the tips, @Cassidy Burns! We already share our space with someone up here in NYC, so it won't be completely new. Plus we'd be looking for a situation where we can live on the ground floor and rent rooms that are upstairs to create some space. The market we're talking about right now is not flush with MFHs so we have to be creative. Definitely thinking of it as a dry run in case we get sent up to DC next. Appreciate the insight.
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Cassidy BurnsBusiness Member
OP
Investor · Alexandria, VA · Member since 2016 · 859 posts · 460 votes
6y
You're very welcome @Michele Z. . Good luck!
Cheers.
[email protected]540-960-1507
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Greg MoranPro Member
Investor · Washington, DC · Member since 2017 · 136 posts · 59 votes
6y
@Cassidy Burns do you have a recommendation for a good HELOC company? I'm looking to do the same and neither my mortgage company or the broker I used offers them.
When you enter your deal details there 2 buttons: one says "Save" and the other says "Save and Post" if you wanted to share with the community... Thanks for sharing!
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Cassidy BurnsBusiness Member
OP
Investor · Alexandria, VA · Member since 2016 · 859 posts · 460 votes
6y
Hey @Greg Moran , I sent you an email with the company I use and refer to a lot of my clients!
Best,
[email protected]540-960-1507
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Greg MoranPro Member
Investor · Washington, DC · Member since 2017 · 136 posts · 59 votes
6y
Got it, thanks @Cassidy Burns
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