What’s One Strategy That Lowers Housing Costs... and Builds Wealth?

If I had to pick one strategy I’ve used — and seen work for countless others — to lower housing costs, it’s this: buy a home, live in part of it, and rent out the rest.

This approach, known as house hacking, is the ultimate time-smart move for military members, busy professionals, and anyone looking to cut living expenses while building long-term wealth. It’s simple, repeatable, and works quietly in the background while you focus on your career, family, and life.

How I Stumbled Into It

In 2006, just a year into my Air Force career, I wasn’t chasing “financial freedom.” I just needed a place to live.

Using my VA loan, I bought my first home with no money out of pocket. My mortgage was more than $300 less than the rent I’d been paying for my apartment.

When I got PCS orders, I rented that home for $675/month. That single decision lowered my living costs, created an income stream without adding a second job, and started building equity I could later use to buy more real estate.

Why This Works for Busy People

House hacking isn’t about flipping properties or chasing quick wins — it’s about letting time and tenants do the heavy lifting.

Your renters cover part (or all) of your mortgage every month. Your equity grows as property values appreciate. And with every PCS move or career relocation, you can add another income-producing property to your portfolio.

Over 10–20 years, this becomes a steady, predictable path toward retirement security and financial freedom — without turning real estate into a second full-time job.

How to Get Started (2025 Basics)

For Military Members:
The VA loan remains one of the best tools in real estate: $0 down, no monthly PMI, and flexible rules on multi-unit properties (up to 4 units) as long as you live in one. PCS exceptions often allow you to rent the property sooner than civilian rules would. Plan for the VA funding fee unless exempt.

For Civilian Professionals:
FHA loans still allow purchases with as little as 3.5% down. You can buy a duplex, triplex, or fourplex as long as you live in one unit. For 3–4 units, you’ll need to pass the “self-sufficiency test,” which ensures projected rents cover expenses — a built-in risk control.

In Either Case:
Target properties with built-in rental potential — an ADU, basement apartment, or multi-unit. Choose markets with strong job growth, low vacancy rates, and good rent demand. Then… let time do its thing.

Here’s The Proof

By repeating this process during each PCS move, I grew from that first $0-down home to 120 doors worth over $15M.

No lottery win. No day-trading luck. Just consistent execution, conservative numbers, and patience.

Negotiation Isn’t Just About Price

Most buyers focus only on purchase price — but negotiating seller concessions can be just as powerful.

This could mean the seller pays part of your closing costs, offers repair credits, or funds a temporary mortgage rate buydown. These concessions can save you thousands upfront or in your first years of ownership.

Think Outside the Location Box

Sometimes, the best deals are just 10–20 minutes beyond the “prime” neighborhoods.

That extra drive can mean dramatically lower purchase prices while still keeping you close to work, amenities, and rental demand. For military buyers, living slightly outside the base can also open up stronger rental markets for when you PCS.

Creative Financing for the Win

In higher-rate environments, creative financing can make your payment more affordable:

• Assumable mortgages let you take over a seller’s lower-rate loan.
  
  
• Seller financing can help you skip the bank entirely.
  
  
• 2-1 buydowns lower your interest rate in the early years, giving you breathing room as your income grows.
  
  

More Than A Place To Live

Your home can be more than just a place to live — it can be a financial tool that lowers your housing costs today and builds wealth for tomorrow.

Live in part of it, rent out the rest, and give the strategy time to compound. That’s real estate done the time-smart way — perfect for professionals and military families who want financial freedom without turning life into a spreadsheet.