Stuck at the first part
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Lender · Member since 2022 · 72 posts · 19 votes
2moYou’re asking the right questions. Focus on learning, running numbers, and building your network while you save. Preparation usually pays off when the right opportunity comes along. Best of luck!
11 Replies
- 2moAbel CurielBusiness MemberReal Estate Agent · Queens, NY · Member since 2016 · 2k+ posts · 1k+ votes
Quote from @Aidan Fox:
I’m a newer investor trying to get started with a house-hack but I’m stuck on the down-payment side and could use some strategy ideas. My W-2 job requires me to live within about 30 minutes of the hospital in Portland, Maine, so I’m locked into that radius. Prices in that area feel high relative to a lot of other markets, and with my current salary it’s been really hard to save anything close to a $60k+ down payment. I’m open to creative financing, different property types, or any other work-arounds people have used in high-cost areas while still meeting a residency requirement. Any advice or experiences would be hugely appreciated.
Hello Aidan and welcome to the BiggerPockets Forums!
There are many loan options available. I'd recommend speaking with a lender who can walk you through different conventional and non-conventional products.
I met @Shalom Yusufov about a year ago and reconnected at BPCon. He has some great insights for newer investors in your position.
In addition to getting more clarity on loan options, I'd recommend looking at deals in/around your target market. Specifically, look for deals that are under median market values that you can force equity into. Renovation loans (i.e. 203K) could be a great option depending on your situation and lender's suggestion.Zillow and Realtor.com have median home values at around 500-600K in Portland. For example, you might want to target the properties in the 300-450K price points that have been on the market 90+ days.
If salary and savings continue to be a hurdle, consider a different property type, location (i.e. remote investing), or partnership.
All the best!
Abel
REbuild Team - eXp Realty5234 Reviews - 2moJesus SuarezBusiness MemberLender · TX, FL · Member since 2025 · 131 posts · 55 votes
Hello, and welcome to BiggerPockets!
There are actually several programs that can help with down payment assistance, and some are specifically designed for healthcare workers. I'd recommend talking to a lender first so you can see what programs you qualify for, how much home you can afford, and what your financing options look like.
Once you know your budget and loan limits, it'll be much easier to build a strategy that fits your goals. You may be surprised by the options that are available.
- Member since 2026 · 3 posts · 4 votes2mo
@Jesus Suarez Ok that all makes sense. Thank you so much!
- Lender · Member since 2022 · 72 posts · 19 votes2mo
You’re asking the right questions. Focus on learning, running numbers, and building your network while you save. Preparation usually pays off when the right opportunity comes along. Best of luck!
- Contractor · Chicago, IL · Member since 2016 · 4k+ posts · 2k+ votes2mo
Hey @Aidan Fox - How exactly does your work require you to live within a 30 minute radius of the hospital?
Quality Builders4.966 Reviews- Member since 2026 · 3 posts · 4 votes2mo
@Jonathan Klemm I work in the operating room where part of my job is being on call. I have to have a 30 minute response time
- Flipper/Rehabber · ME · Member since 2023 · 23 posts · 7 votes2mo
Maine was once a good investment. Appreciation and rents went nuts, but wages have done little.
I have 1031ed out of my southern Maine holdings into a DST, and it's WAY better.
My plan is to move backwards, and become a renter again. That is how overly valued homes and multis in southern Maine feel.
I just have not seen any real estate anywhere around Portland that seemed like it could potentially be a wise choice, and rent prices and their demand is softening. I feel that it's logical that home prices may soften next.
When you run numbers, take a good look at the Amortization schedule on a loan. compare the portion of the loan that goes towards equity compared to what you could save while renting.
you may find that renting now and setting aside money for a future downpayment may make more sense.
I don't know if you are familiar with the area, but home maintenance/owner costs are high in the area. due to weather, climate, and an old housing stock. - Banker · MA · Member since 2026 · 120 posts · 33 votes2mo
For a house-hack, the single biggest lever you have is loan type. FHA lets you put 3.5% down on a 2-4 unit property as long as you occupy one of the units. On a $400k duplex that's $14,000, not $60k. Conventional owner-occupant loans go as low as 5% down on a 2-unit. Both of those are legal, standard programs, and the rental income from the other units can be factored into qualifying, which helps on the debt-to-income side.
Maine also has state-level down payment assistance worth knowing about. MaineHousing runs programs specifically for first-time buyers that can layer on top of FHA or conventional financing. The income and purchase price limits are higher than people expect, and Portland-area buyers often qualify. I've worked with buyers in similar spots who combined a low-down-payment loan with assistance programs and closed with far less cash out of pocket than they thought possible.
On property type: a 2-unit is the sweet spot for starting out. You get owner-occupant financing rates (meaningfully better than investor rates), live in one side, and let the other unit offset your mortgage. A 3 or 4 unit works under the same FHA rules but comes with more management complexity right out of the gate.
One thing worth flagging honestly: FHA on a multi-unit does require you to pass a rent reasonableness test and the property has to meet FHA condition standards, which occasionally rules out older buildings in need of work. Worth having a good inspector and a lender familiar with multi-unit FHA before you get too far into a deal.
With 31 years in this business I've seen a lot of people talk themselves out of starting because they're targeting the wrong down payment number. For a house-hack specifically, the math is usually more favorable than it looks at first.
- Real Estate Consultant · Ann Arbor, MI · Member since 2022 · 466 posts · 256 votes2mo
Hi Aidan in Portland, Maine-
You work for a hospital that requires you to live within 30 minutes of the hospital but you are having a hard time with the downpayment to house hack in this expensive area near the hospital and looking for creative ways to get into a property.
One, you might approach the owner of an investment property like a duplex and offer to buy it from them over time acting as the on-site property manager and making payment to them with the understanding you will purchase it in your name as soon as you are able to qualify for the mortgage. Perhaps you could do work in exchange for equity and ask for a credit each month toward the downpayment with each on time payment.
Second, you could approach the owner of a property that was non-owner occupied (you can find this in the tax records and there are services that provide this contact information for your area) and offer to buy the house similarly.
Both methods potentially spread the owners taxable gain over time and you can offer to pay above market rent and purchase price in exchange for the opportunity. Have lawyer help with the paperwork.
To Your Success!
- Investor · Pacific Northwest · Member since 2026 · 65 posts · 16 votes2mo
The radius is the real constraint, but could also be your savior, depending on the strategy.
Paths people actually run when savings can't hit $60k: FHA/house-hack with 3.5% if you can occupy, partner equity for the down with a written exit, seller carry for a slice of the pie behind a smaller first, or a multi where rent from the other doors covers enough that the cash-to-close shrinks.
Personally though, I would bet you could pull a great Morby method deal (aka stack finance) and keep your savings for true emergencies. You just have to find a small multi-family property with decent equity and a seller looking to get out. From there, you could structure a deal where they're placed in second position and you get a DSCR loan to cover the property, stabilize it, and get renters in. Easier on your life if you go for a tri or quad.
In my opinion, your biggest opportunity is with a small, multifamily or large single-family home that you convert to co-living. Keep yourself segregated so that you have more privacy, and rent out the other rooms with a common space.
- 2moVijay FriedmanBusiness MemberMiami, FL · Member since 2026 · 766 posts · 122 votes
Quote from @Aidan Fox:
I’m a newer investor trying to get started with a house-hack but I’m stuck on the down-payment side and could use some strategy ideas. My W-2 job requires me to live within about 30 minutes of the hospital in Portland, Maine, so I’m locked into that radius. Prices in that area feel high relative to a lot of other markets, and with my current salary it’s been really hard to save anything close to a $60k+ down payment. I’m open to creative financing, different property types, or any other work-arounds people have used in high-cost areas while still meeting a residency requirement. Any advice or experiences would be hugely appreciated.
@Aidan Fox
House hacking is still a great way to get started, even in a higher-cost market. One thing I'd do is broaden the search slightly and run the numbers on duplexes, triplexes, or fourplexes where rental income can offset more of the monthly payment. Even if the purchase price is higher, the additional rent can sometimes make the deal more affordable than a single-family home.
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