Single Family or Multifamily for First Property?

[Joey Clowery]

Hello all!

This will be my first post on BP, and I've enjoyed reading through all of the great information this site has to offer.

My fiance and I are very interested in getting started in investing in real estate. I've seen two methods I believe would be best for us. That being, "house hacking", by buying a multi-family property and living in it while renting out some of the other units. Or, buying a cheaper single family home and lowering our overall living expenses(currently renting) to be able to save up for multi-family investments in the future.

Our plan right now is the latter, by buying a cheaper/smaller single family home to live in for a good amount of time while saving and investing in multi-family properties once we have the capital saved up. 

My question is, does anyone have any advice or suggestions for the current plan above? 

Any thoughts, or feedback is certainly appreciated!

Thanks,

Joey 

[Stacy Fernandez]

Joey, I am a new investor and recently sat down with a more seasoned investor. He gave some really good advice and told me about FHA Loans and how at least in Nebraska you can get up to a 4 unit building. Most of the time you can do little down and at a reasonable rate. After talking to him I would recommend that because if you got the other 3 units rented it should completely cover/almost cover your mortgage payment. You only have to live in the property for a year.

Really if you get it rented it would reduce your costs and you can save money while also making money. I would just look into it because the investor we talked to said if he could do it again that would be how he would do it!

Goodluck! 😀