Any first time home buyers cash flowing in Denver \ Springs area?

[Mathew Fuller]

Hello,

Wondering if any first time home buyers in 2018 \ 2019 have had luck finding a first time home cash flowing property in Colorado? I am finding it hard to find a property in Arvada, Broomfield, Westminister area that cash flows doing a house hack with 3.5% down.. I am wondering if I should be looking in Colorado Springs or Greeley where properties are quite a bit cheaper, or maybe continue to save and just buy out of state.

Would like to hear any success stories \ opinions.

Thanks

[Chris Lopez]

@Mathew Fuller You'll have a hard time finding an off market place with a 3.5% FHA down. Occasionally you will, but it's not worth making it your primary focus. The MLS see 95 to 97% of all transactions. With a house hack, you're looking for a long term rental. You can sift and sort on the MLS to find places in better locations and more upside than taking what you get off market for a $30k discount.

Don't lose the forest through the trees on buying a cash flowing house hack. I have a few clients cash flowing, while they are living in the property, but many have severely reduced living expenses (they are paying $200 to $800/mo to live.) That's what you can rent a room for in Denver! They now own an asset and are living for cheap.

The power of house hacking is not cash flowing while you're there, but it's buying a place with a low down payment, then moving out after one year and repeating. It's the repeating of buying multiple owner-occupied places at 3.5% to 5% down that builds wealth, not one single house hack.

I'm teaching a house hacking class on Wed at 6PM https://www.biggerpockets.com/forums/521/topics/713742-free-denver-house-hacking-class 

We go through a detailed walk through of buying 4 places over the next 8 years. It's amazing the wealth it builds. We discuss what's working in the current state of the marekt.