Have you ever wanted to live without paying rent or mortgage out of your own money? Do you also like the idea of building wealth over time? Then House Hacking is for you and I’m looking to partner up!
House Hacking simply means renting out part of a house that you are living in to offset the expenses (you might have heard somebody say “buy a duplex to help pay the mortgage,” or know somebody who bought a house in a neighborhood that only has townhouses/brownstones and apartment buildings). There are several ways to do it, but our plan is to buy a triplex that needs rehab, complete that work, live in one of the apartments and rent out the other apartments. This is commonly referred to as the BRRRR method:
- Buy, with a low down payment
- Do some light to moderate Rehab
- Collect Rent from the other people in the house
- Use that money to pay the mortgage and expenses –and–
- Based on the value we added to the house, Refinance to get the cash for a second property! (Repeat)
There is a one year live in requirement, (some unforeseen circumstances allow for early move out), in order to use the preferable (low down payment, lower interest) primary residence financing. After that, we will move on to the next house and rent out the space that we were occupying.
If all of that peaks your excitement, you know how to get in touch with me!