Starting my real estate journey

Manchester, New Hampshire
General Real Estate Investing
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Starting my real estate journey

Ryan Hawes
New to Real Estate · NH · Member since 2023 · 1 post · 0 votes

As of today, I have lived in a condo I purchased roughly two years ago. I have a large amount of equity and have been considering selling and moving the money into a multi family where I can house hack and live in one of the units. I want to start somewhere I can scale. Would anybody be able to reach out and help mentor/give advice on where to start? TIA

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Bradley BuxtonBusiness Member
Real Estate Agent · NV · Member since 2023 · 1k+ posts · 717 votes
16h

@Ryan Hawes I had a client with this similar situation. The difference is they feel locked in with the 3% rate. I ran some numbers for them and after expenses and a modest increase in the HOA they are only seeing about $100 in cash flow per month. Is that enough to have a tenant and cover the cost of a HELOC? Doesn't seem like it in their case. I see condo expenses going up with larger cap-ex every 5 years. If rents are not keeping up with the HOA increases you have a lot of equity that can be put to work. If you can get a better return on a multifamily house hack then it seems like the logical choice. In my opinion even if it's close to the same numbers on a multifamily you are in full control and not beholden to the HOA. Weight the control, lifestyle, and the momentum of money you have locked in the condo.

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  • Matthew MorrowBusiness Member
    Investor · PA - NY - NJ · Member since 2019 · 674 posts · 237 votes
    2d

    @Ryan Hawes putting that equity to work instead of spending it is how I got going too. Before you sell, run it both ways: keep the condo as a rental and pull equity out, or sell and put it all into the multifamily. Watch the HOA on the condo, since that can eat a lot of rental cash flow. For a mentor, go to a local meetup. Find one here on BP and show up a few times. That's where you meet the people actually doing deals near you. Welcome aboard.

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  • Jimmy Samaha
    Staten Island, NY · Member since 2013 · 51 posts · 13 votes
    1d

    Before you list, check your dates. If you've owned and lived there 2 full years by closing, up to $250k of gain is tax free ($500k married). If you're just shy, waiting a few weeks could save you real money.

    Then run keep vs sell with real numbers. Say the condo's worth $350k. Selling costs around 6 to 8%, so roughly $21 to 28k off your equity right away. Keeping it means rent minus mortgage, taxes, insurance, and HOA, plus around 10% for vacancy and repairs. Condos with a big HOA usually don't cash flow at today's numbers. Also check your bylaws for rental caps or minimum lease terms before you count on renting it.

    For the multifamily, you can buy an owner occupied 2 to 4 unit with as little as 3.5% down FHA or 5% conventional. So you don't need all your equity for the down payment. Keep a good chunk as reserves, since an older 2 or 3 family will need a roof or boiler at some point.

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  • Adam Summerer
    Lender · Franklin, TN · Member since 2026 · 110 posts · 26 votes
    1d

    If you sell the condo and move into a 2-4 unit, you don't have to put all that equity down. FHA is 3.5% down on up to 4 units and conventional now goes as low as 5% on an owner-occupied 2-4 unit, so you could keep a good chunk as reserves (lenders want reserves on multis anyway). Ask each lender how they'll count the other units' rent too, most use about 75% of the lease or the appraiser's market rent to help you qualify. Matthew's idea of keeping the condo as a rental is worth running, just know you'd have to qualify carrying both payments.

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  • Nicholas L.Pro Member
    Flipper/Rehabber · Pittsburgh · Member since 2018 · 6k+ posts · 5k+ votes
    1d

    @Ryan Hawes

    hello. i think house hacking is a great idea. can you refinance the condo and hold it? you may or may not be able to depending on your financial situation.

    what other questions do you have?

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  • Hossein Sharifi
    Investor · Member since 2023 · 115 posts · 56 votes
    1d

    @Ryan Hawes One thing to check before you sell is the timing. If you've owned and lived in the condo for at least 2 of the last 5 years, up to $250K of the gain is tax-free ($500K if married filing jointly). "Roughly two years" is close enough that a few weeks could matter, so confirm your exact dates.

    On the multifamily side, owner-occupied 2-4 units can go as low as 3.5% down with FHA or 5% conventional, so you may not need all of the equity for the down payment. Holding some back as reserves matters more on older multis, where one roof or boiler is $10K+.

    If you run the keep-the-condo option, include the HOA, vacancy and a manager fee before deciding it wins.

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  • Jason MalabuteBusiness Member
    Accountant · Los Angeles, CA · Member since 2016 · 2k+ posts · 912 votes
    1d

    Hi Ryan, before you list the condo, check your dates. To get the home sale exclusion you generally need to have owned and lived in it for at least two years out of the last five, and as a single filer the limit is up to $250k of gain. If you're only a few weeks short, waiting until you hit two full years could save you real money. Selling early generally only earns a reduced exclusion if it's for a work move, a health issue or something unforeseen, and buying a multifamily doesn't count by itself. If you keep the condo as a rental instead, depreciation starts once it's rented, and that depreciation can't be sheltered by the exclusion when you sell later. It's generally taxed at up to 25%. For the house hack, you'll typically split costs between your unit and the rented units, depreciate only the rented portion, and rental losses can be limited by the passive loss rules. What's your exact purchase date, and are you planning to move into the new property right after you sell? The exact answer depends on your facts, so check with your own CPA or tax advisor before you pull the trigger.

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  • Divin KanyamaBusiness Member
    Accountant · Seattle, WA · Member since 2025 · 512 posts · 211 votes
    1d

    @Ryan Hawes you’re in a strong position to explore house hacking, especially with meaningful equity. Before selling, I’d speak with a lender and tax professional to understand your financing options, expected proceeds, and any tax implications.

    Then define your target property—duplex, triplex, or fourplex—and analyze local rents, expenses, repairs, and reserves. Make sure the deal works without relying on perfect occupancy or aggressive rent growth.

    For mentorship, connect with local investor groups, experienced agents, lenders, and property managers. Ask specific questions and bring actual deals to review; that usually leads to better guidance than a general request for mentoring. You have a solid starting point—just protect your equity and move deliberately.

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  • Keenan Fitzpatrick
    Realtor · Anchorage, AK · Member since 2017 · 225 posts · 178 votes
    1d

    House hacking is a great idea. If you have quadplexes in your area then what I would shoot for. If you have a lot of equity then that will help you buy a property every year utilizing all the small down payment loan options and also contribute to your reserves and closing costs. A good agent and/or local lender that has done that will be able to help you come up with the best strategy. It's important to buy specific properties in a specific order to make sure you maximize your returns and don't run into any problems.

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  • Inder Singh
    Real Estate Agent · Boston, MA · Member since 2025 · 33 posts · 13 votes
    17h

    Welcome, Ryan. House hacking is exactly how I'd start again — it did the heavy lifting in my own portfolio here in New England. Two things I'd nail down before you shop: run the numbers as if you didn't live there (it has to work as a pure rental the day you move out), and get brutally honest about reserves — the first-year surprises on a small multifamily are turnover and deferred maintenance, not the mortgage math. I'm licensed in NH as well as MA and invest in both. Happy to connect if you want a second set of eyes on a deal.

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  • Bradley BuxtonBusiness Member
    Real Estate Agent · NV · Member since 2023 · 1k+ posts · 717 votes
    16h

    @Ryan Hawes I had a client with this similar situation. The difference is they feel locked in with the 3% rate. I ran some numbers for them and after expenses and a modest increase in the HOA they are only seeing about $100 in cash flow per month. Is that enough to have a tenant and cover the cost of a HELOC? Doesn't seem like it in their case. I see condo expenses going up with larger cap-ex every 5 years. If rents are not keeping up with the HOA increases you have a lot of equity that can be put to work. If you can get a better return on a multifamily house hack then it seems like the logical choice. In my opinion even if it's close to the same numbers on a multifamily you are in full control and not beholden to the HOA. Weight the control, lifestyle, and the momentum of money you have locked in the condo.

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