First deal - Small 4plex or nice duplex? House Hacking..

[Alex Kouvatsos]

Hi, I'm a new investor in NY, looking to house hack my first deal. I'm looking at a 4plex in upstate NY asking $299,000, rents are 3600 a month (90 minutes outside of NYC).

There's also a duplex that's way closer to the city, the rents are hotter and commute to NYC is only 30 minutes. 1 3br and 1 2br apts. asking $250,000. Rents will bring in about 3600 as well.

Which is a better first deal? I need to occupy one of the units for a year because I am purchasing with an FHA loan, so the duplex will actually cost me money the first year.. but I will be cashflowing more after year 1 than the fourplex and the rents will be to families who will most likely stay longer. I can live for free for a year with the fourplex right away and then cashflow a little less when I move out, but the apartments are very tiny, I can imagine there will be a lot more turn over in finding new tenants..

Any advice or insight would be great!

[Samantha Klein]

The duplex sounds better. Most of the time I'd tell you the fourplex is always better but if your getting the same gross rents with less units then go that route, sounds like the duplex is in a better location too so that could help you long-term.