I'm looking to house hack by using lease purchase.

[Zakee Richardson]

I'm looking to house hack by using lease purchase strategy. What are the pros and cons?.

[Andrew Postell]

@Zakee Richardson thanks for your post. Always great to hear from a fellow Texan.

Now, lease options are not illegal in Texas...but there are so many laws to them now that nobody does them. Pre-2005 there were many of these that occurred...but now, next to zero.  And when they do happen, it's because the person who did it, didn't know the rules to it and they are now in a bad spot because of it.  So, I would put this type of transaction to the side here.

What was the reasoning you were thinking of it?  The reason I ask this is because if I am buying a primary home there are TONS of ways for me to buy a house with very little money out of my pocket.  It gets hard when it's an investment property because the downpayment is high so we have all of these "alternative strategies" to purchase to get around that high downpayment.  But with my own primary home, I only need 5% down, or maybe 3.5% down or lower. And then I have all of these "Downpayment Assistance Programs" that will help me as well.  I love house hacking. It's how I got started.  And I used a program to help me purchase that first home and have never looked back.

Hope all of that makes sense but feel free to ask anything additional.  Thanks!