One common approach involves structuring your ownership and operations through multiple entities.

I was impressed and decided to move forward with a new property I was purchasing.Everything went smoothly until 3 days before closing — that’s when MoFin told me they could no longer honor the 10/90 structure.

That’s good news since you’re targeting student housing where rents are high.Make sure your leases are structured by the room and you have signed leases in place before the appraisal.

How is everyone structuring theirs if it is different?

Hey Joseph,Sounds like you’re right at that point where you’ve proven to yourself it works, now you’re just trying to scale without wasting money or burning out — been there.Here’s how I’d structure it:1.

The goal of house hacking is to get higher leverage on an asset than you would if it was structured as an investment property.

Since I work with a lending group, I’ve seen people leverage that experience to understand financing and deal structuring much faster.

I am familiar with residential rental structure, but I know absolutly nothing about commercial units, leases, what deals are good and bad, I really want to know the best way to educate myself on that side of rental income. 

From the start, choose the right structure such as an LLC to protect yourself legally and take advantage of pass-through taxation, which lets you deduct business losses and expenses directly on your personal return.

If they are sophisticated enough to properly structure seller financing, they should not muck it up with an appraisal contingency, imho.