House Hacking with DPA??

[Harry Shmelts]

I am wondering how house hacking with a DPA would work? I make 60k/yr and only have $15k saved up which I know could really only cover a down payment for duplex currently. So for that reason I am wondering if there are any disadvantages to using a DPA? It seems to me I could get into a deal sooner and not deal with the headache of saving up for the down payment + repairs, reserves, etc. If someone could please enlighten me on this it would be greatly appreciated. Thanks

[Andrew Postell]

@Harry Shmelts thanks for the post.  @Joe Funari thanks for the mention.  Hopefully this will help @Jason Urquhart as well.

House hacking with a "First Time Home Buyer" program or "Downpayment Assistance Program" is EXACTLY how I got started.  I could not have purchased my first home WITHOUT assistance from a program.  I used the program on a single family home and then rented out each room separately.  It was an awesome time and I lived practically rent free.  In Texas, there are several different types of programs available.  Some will be income based, some will be based on geographical area, some won't care.  Some WON'T allow a duplex...and some will.  There are so many choices and so many differences it just important to speak with a loan officer that offers MULTIPLE different programs so you can see which one fits you best.

Keep in mind that FHA will only need 3.5% down for a duplex. This is often a significantly better option as compared to "conventional" loans since they would require 15% down. Seller concessions can also be used to help you get closer to the finish line. Again, just important to speak with someone that can combine some of these features together to place you in the best loan possible.

Hope all of this makes sense but feel free to post more if you need.  Thanks so much!