First House hack, more or less leverage?

[Dylan Eggers]

Hello! I’m finally ready to purchase my first house hack! I’m looking for properties in North Denver (Thornton, Westminster, Commerce city, etc). I plan to rent out the rooms to friends if I can instead of total strangers, however I know this could be problematic, and I plan to have their parents co-sign if they don’t have a 600 credit score. Just want to know what the potential dangers are and how to avoid them.

Also I’m finding in my market the home will likely not cash flow as a normal rental, so I plan to sell it before I purchase a second property. Is this a terrible idea, will I be taking a huge risk if the market falls? Ideally I’d like to be able to buy and hold multiple properties down the road. Any advice would be greatly appreciated!