house hacking to get in an expensive market

[Ian Dale Ibrado]

Hi everyone!  Looking for your opinion.  Im from Edmonton, Canada and I have just recently closed on my 3 unit suite and want to keep my momentum going. Im thinking of renting out my primary which will cashflow $650 (no management fee, self manage) because of low interest rate i got it for 2% which still has 2 years before rates renew.  When it does, if at 5%, I'll be breaking even.  Heres my thought, I want to purchase my next primary as a house hack.  Buy a primary with a basement suite but wont entirely cover my mortgage.  My mortgage will be still around $1800 but will allow me to control an asset worth 630k.  Wife is telling me to slow down.  I want to keep momentum going.  These primary residences will then be just for appreciation.

What are your thought?

Thanks

[Stevo Sun]

Quote from @Ian Dale Ibrado:

Hi everyone!  Looking for your opinion.  Im from Edmonton, Canada and I have just recently closed on my 3 unit suite and want to keep my momentum going. Im thinking of renting out my primary which will cashflow $650 (no management fee, self manage) because of low interest rate i got it for 2% which still has 2 years before rates renew.  When it does, if at 5%, I'll be breaking even.  Heres my thought, I want to purchase my next primary as a house hack.  Buy a primary with a basement suite but wont entirely cover my mortgage.  My mortgage will be still around $1800 but will allow me to control an asset worth 630k.  Wife is telling me to slow down.  I want to keep momentum going.  These primary residences will then be just for appreciation.

What are your thought?

Thanks

 I would just suggest for you to do a deemed disposition of you have significant gains on the current primary. When you turn your primary into a rental you will lose the primary residence exemption. So you want to lock in the gains as tax free gains before turning it into a rental.