$500k Preapproval- Austin TX House Hack Duplex POSSIBLE?

[Account Closed]

Preapproved for $500k looking to buy 1st house hack duplex in Austin TX or neighboring areas. When I run the math it’s always a huge negative cash flow… and I don’t have many options within my budget for places in nicer area in Austin. Any suggestions of how I can make a profitable investment play in/near ATX? 

Hustling for off market? Or single family house hacking? Foreclosures?  

(I understand this is not legal investment advice just looking for insight from experienced investors.)

[Steve Vaughan]

Quote from @Account Closed:

Preapproved for $500k looking to buy 1st house hack duplex in Austin TX or neighboring areas. When I run the math it’s always a huge negative cash flow… and I don’t have many options within my budget for places in nicer area in Austin. Any suggestions of how I can make a profitable investment play in/near ATX? 

Hustling for off market? Or single family house hacking? Foreclosures?  

(I understand this is not legal investment advice just looking for insight from experienced investors.)

With a plex househack,  your cf target needs to compare to your current rent and be positive when you move-out.  
If your rent is $1500/mo, my target cf would be like negative $1200 or less.  You'll be ahead.
I bought and still occupy a househack I've had since 2007.    My 'cf' for the longest time was  -$1200, about the rent rate of a 3 bedroom home.  
Rents for the same 3 bedroom (if I didn’t buy) have risen to $2200/mo and the rent of our income side has risen by $400/mo.  
My mortgage (when I had one) was also paying down by about $500/mo.  Later it was paying down $1200/mo. 
The property value has also increased by $300k.
Our 'rent' has pretty much been fixed at $1200 all these years. In reality I have been paid well to live here since '21.  
We've also been able to paint and improve and have pets as we liked.
Point is, there are other issues besides cf at the beginning.     Will your net negative be less than what you are currently paying? Will it cf if / when you move out?