Hi! I'm a beginner and looking to start my real estate journey by house-hacking either a multi-unit condo or a multi-family with an FHA loan. I don't know much about the market or what to expect to be the "average" multi-unit property's potential cash flow. But, from the looking around I've done, most of the multi-unit properties (mostly 2-3 unit) I've looked at seem like they would actually have a negative cash flow using an FHA loan. Is that normal in this area? Or am I not looking hard enough? I would just like some clarity from someone with more experience, thanks!
I don't know the area at all, but generally with an FHA, your PMT is going to be much higher due to the small downpayment so don't get discouraged about not finding a house that "cashflows." FHA loans are great for adding properties to your portfolio, but you're almost doing it for the gained equity over the years. Look for properties that maybe don't cash flow when you live there, but after you live there for you the year, the rent from the unit you stay in would help you cash flow. Hope this helps.