House hacking was the foundation of my entrance into real estate investing.

At 23 years old, right out of college, I purchased my first townhouse for $210,000. I had saved enough money for the 5% down payment and used the commission I earned from the purchase to help pay for new flooring and other updates.

My favorite thing about house hacking is the ability to reduce your living expenses while building equity in a property. Instead of carrying the entire housing payment myself, I rented out two of the bedrooms. My two roommates covered the full mortgage, while I only paid my share of the utilities out of pocket.

Keeping my housing costs so low allowed me to save more of my income and eventually purchase another property. More importantly, it taught me firsthand how powerful real estate can be when you find creative ways to make a property work for you.

A few years later, I used that same townhouse to test the short-term rental market. It did not happen overnight, but once I realized the potential, I was hooked. The townhouse was located near Sloan Park, the Chicago Cubs’ spring training facility, and the seasonal income from spring training gave me the ability to cover nearly an entire year of mortgage payments.

That experience completely changed the way I looked at real estate. It showed me that the right property, in the right location, with the right strategy, could create opportunities far beyond traditional long-term renting. That first short-term rental experience directly led to me investing in more than 15 short-term rental properties over the last decade.

My first townhouse was not a luxury property or a massive investment. It was simply a starting point. However, it gave me experience as a homeowner, landlord, investor, and eventually an Airbnb Superhost. It helped me build the confidence and financial foundation to continue growing my portfolio.

For anyone interested in getting started in real estate investing, house hacking is still one of the best strategies I recommend. If you are younger, unmarried, or simply comfortable sharing your space, it can be a great time to get your feet wet while keeping your housing costs low.

You do not need to begin with the perfect property or a huge amount of capital. Sometimes, you just need to purchase the right first property, create a smart strategy, and find a way to make it work for you.

Who else has successfully used house hacking to begin building their real estate portfolio?