Multifamily Househacking Property Choice

[Alan E.]

If you were to buy a multifamily unit to live in one unit and rent out the others, but it was split first floor/second floor. Would you choose to live in the top or bottom and what factors would influence your decision?

[Jeff Smith]

• Is it a flood zone and would you prefer to be at a higher elevation? (Houston resident here!)
• Does the market in the area make any kind of concessions for a unit upstairs? Some properties have a discounted rate for the second floor or higher units. Additional to this is if there is a porch or another exit on the ground floor that the upper units may not have.
• What is your personal preference? Do you want to climb up stairs each day and does that bother you?

[Rod Khleif]

@Alan E.

Hi Alan, for the most part it's up to your personal preference. If the units are the same bed/bath count and square footage they'll most likely rent for the same amount. One thing to keep in mind is that some potential tenants may not be able to walk up the stairs, if elderly for example. Other than that choose which unit you prefer and remember moving in furniture is always harder when you need to climb stairs!

[Sergio Fetter]

@Alan E. @Rod Khleif 

Hey Alan. Rod is correct, in my experience when I was a property manager, I had plenty of people turn down an unit because it was upstairs. I have never had that issue with a downstairs. Provided they are the same, which I assume they are, then you should be golden in either one. 

[Hadar Orkibi]

@Alan E. down stairs will be easier to rent out. 

Especially if there is a good in door out door flow at ground level.

It would be smart to lay a good carpet and underlay on the upstairs floor to minimise noise.  Noise would  be your main issue with up and down flats where the floor is timber , wood panels or anything not solid. 

[Athina Margaris]

Hey Alan! I am currently “house hacking” my building in a 3 unit multi family and located in the middle floor (everyone would probaly think not ideal). I would say it varies which unit you would occupy by square footage, number of bedrooms/bathrooms and the finishings in each unit. You really can’t  predict what the tenant would want. Some like the convience of the first floor but others like the feel of safety on the second floor. Pick the one you can be comfortable in! : )