Starting Out
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback
Updated over 3 years ago,
Looking to house hack to start my REI. Thoughts?
Need to pick your expert brains. I am a newbie… I find myself in a unique situation where I work in Los Angeles(12 days a month) and have an apartment here(insane rent)… but spend the rest of my time back East(where my family is). I have never owned a home or property(and pay nothing back East) so given this and after some thought I feel like a house hack would be the best way for me to start my REI journey. Since I am paying rent in LA(and will be working here 5+ years), I'm thinking that getting a duplex/triplex etc and living in one unit and renting out the others, living mortgage free, or as close as possible, is my best bet to start. This also always me to free up more cash to save toward another investment. Given this what are you thoughts on
1: Getting a great agent( currently talking to a few, but if you are one or know one feel free to message me) finding off market slightly distressed multi-family up to a 4plex.
2: Taking a FHA 203k loan so I can take advantage of rates and low down payment since you all know RE in LA is ridiculous(creative mortgage brokers feel free to message me as well) and yes it would be my primary residence and I would be occupying one unit
3: Rehab and rent the other units and STR my unit for the part of the month I'm on the east coast adding to cash flow
So all that being said and understanding that I do know LA is a tenant friendly city and not the best for landlords, and that my intention is to actually do most of my investing back east
1: Do I have to wait a year to cash out refi out of the original FHA? Or can I cash out refi earlier
2: Would a heloc be a better option in this case?
3: Would you use wholesalers for the first purchase being a newbie or definitely go with a agent in LA
Thank you for any advice and I look forward to hearing what you think.