House-hacking in Queens, Brooklyn or LI

[Steven Clevenger]

Hello all, 

I am not a new landlord but professional opportunities have me moving away from the Midwest to NYC. I am wondering if it is even possible to house-hack effectively in NYC or LI? I would be happy to break even(live rent free) given the market. I have been house-hacking for the last few years in the midwest and it was an absolute gamechanger in terms of my finances after years of renting in Los Angeles. Do any of you have experience in this market. Thanks! 

[Eric Hajdu]

Hey Steven, NYC is a huge city made up of 5 boroughs, and you can certainly do it in several areas.  I can't speak to Long Island, as I only invest within the city.  There are many opportunities in Brooklyn, Queens, and the Bronx to buy a three family and live for free in one of the units, especially if your okay taking the top floor one bed while renting out larger units with outdoor space.

In Manhattan, I would say it's nearly impossible to house hack in any traditional sense, and Staten Island has some options, but in my opinion you would much better appreciation/rental demand in the other boroughs.  

All that said, the cost of entry is obviously going to be higher here, with the baseline even in the outlier areas being close to a million.  What you really gain by investing here is capital appreciation in your property that could lead to some great refinancing down the road.  Best of luck in your search!