Who's House Hacking a Duplex

[John Lewis]

Hello BP Fam,

The wife and I are in the market for our second investment property, and we are looking to house hack a 2-4 unit. More than likely it'll end up being a 2 unit. I want to know how much of the mortgage is your rental income off-setting, is it covering the entire amount, or will I need more units to accomplish that. But can you share a rough estimate of how much yours is covering, (ie. 60%, 75%, etc.) Also how was your acquisition process, did you use an agent and get something that's currently on the market or did you look for an off-market deal that you could add value and hopefully acquire at a discount. What's your experience with House Hacking multiple units. I'm in the St. Louis, MO area, Midwest.

Also was your financing conventional, FHA, or owner financing?

Thanks.

[Aditya Soma]

Hey @John Lewis I'm an Investor from Windsor ON Canada, so I can share my experience but just keep in mind it's little different in states i guess in terms of mortgages and the market 

My first property was House Hack a duplex (unit 1 - 3bed/1bath and unit 2: 1bed/1bath): 

Got Mortgage for 95% LTV + Improvements total amount 125,000 (in Canada  we can get loan for 95% LTV + Improvements only for Owner occupied residential property)

Mortgage: 565   + Taxes (150) + insurance (135) + utilities (200) = 1050

rented out 3bed/1bath for 1100+ they pay their utilities  & Lived for for FREE (May be I paid for repairs once in a while)

Purchased it on the Market but I was the first 1 to offer luckily they accepted it. it's not that easy to find good deals on the market until unless you know the area and market rents very well. I made more then 20 offers before this.

With this property, it was rent for 1000 in total for both units, tenants living there from last 8years so need tlc work, because I know the area and market rents I didn't even look at the property I made conditional offer on the first day. 

And yes I did used the agent @Cassidy Logsdon because she's an Investor her self which helped me a lot 

In my opinion more the units the better, so if you can find a 4unit go for it.  also In Canada now a day many A/B lenders setting limit on no.of properties you get lending for  (max 6) [ 4 X 6 = 30 income streams  OR  2X6 = 12 income streams   OR 1X6 = 6 income streams] so find if Lenders in States have any limitations like this

Over all, I love the house hacking concept great way to start. 

Goodluck 

Aditya Soma