5 House Hacking Mistakes First-Time Buyers Should Avoid

House hacking is a great way to break into real estate—but it’s not foolproof. First-time buyers often make costly mistakes that could’ve been avoided with a bit of planning. Here’s what to watch out for:

1. Not Checking Local Zoning Laws
Can you legally rent out a room? What about a basement suite or detached garage? Always check zoning rules, permit requirements, and short-term rental regulations in your city or county.

2. Skipping a Solid Lease (Even With Friends)
Verbal agreements lead to drama. Always use a written lease, even if you’re renting to a cousin, friend, or coworker. Define rent due dates, utilities, deposits, and house rules clearly.

3. Overestimating Rental Income
Zillow Rent Zestimate ≠ reality. Talk to local landlords or property managers to get realistic numbers—and budget for occasional vacancy or late payments.

4. Underestimating Repairs and Maintenance
More tenants = more wear and tear. Budget for minor repairs, broken appliances, or things that “suddenly stop working” at 10 PM. Don’t rely on your first few rent checks to cover your mortgage.

5. Not Screening Tenants Carefully
Even house hackers need to screen properly. Run background checks, verify income, and follow fair housing rules. Don’t let urgency (or friendship) replace due diligence.

Final Thought
House hacking is one of the smartest ways to build wealth—but only if you treat it like a business. Do your homework, avoid shortcuts, and you’ll turn your first property into the foundation of your financial freedom.