First home - house hacking!

[Zachary Saunders]

Hey guys, I’m 23 years old and I’m very excited to say that I am under contract for my first property. It’s a corner attached townhome in the Stapleton neighborhood of Denver. I’m planning on house-hacking and I’ve included some stats below:

Purchase price: $365k with seller providing $6k in closing costs

Down Payment: $20k

Interest Rate: 2.875%

Total APR: 3.3%

Monthly cost: $1950 with $200 of that being PMI.

Due to restrictions on my mortgage, I have to live in the property for 12 months, so I only plan to rent out 2 of the bedrooms with parking spots at $900 each. With that rent coming in, I’ll only pay $150 myself.

After 12 months, I’ll move out and get a new renter for an additional $900. Now my rental income will be $2700.

Soon after that, my PMI will drop off, therefore reducing my monthly cost to $1750. With all rooms rented, I'll pocket $950 per month in excess or $300+ per room!

I’m really excited!

[Zachary Saunders]

@Marlen Weber Thank you!