Multi family financing

[Dennis Fergus]

Hello, bigger pockets community. I bought my first house hack in Salem, Oregon in 2021. I have struggled to buy another property with high prices, high interest rates and my debt to income. My goal was to buy a small multi family once a year, but has been challenging as a solo investor. My goal is to own a minimum of 10 properties. I haven't really looked at out of state investing because of the down payment. Locally house hacking solves the low down payment problem while living in the house for one year, moving out renting out the property and buying another.  Creative finance sounds amazing if I could find seller's willing to work with me. Any help would be appreciated. 

[Lawrence Potts]

Quote from @Dennis Fergus:

Hello, bigger pockets community. I bought my first house hack in Salem, Oregon in 2021. I have struggled to buy another property with high prices, high interest rates and my debt to income. My goal was to buy a small multi family once a year, but has been challenging as a solo investor. My goal is to own a minimum of 10 properties. I haven't really looked at out of state investing because of the down payment. Locally house hacking solves the low down payment problem while living in the house for one year, moving out renting out the property and buying another.  Creative finance sounds amazing if I could find seller's willing to work with me. Any help would be appreciated. 

I'm curious about your current house hack situation. Did you buy a multifamily or did you buy a single family home and rent the rooms out? Depending on what it is, it will impact your DTI. And what mortgage did you use? FHA has specific requirements for second home purchases.

When my wife and I bought our first home back in 2018, we bought a SFR and ran into that DTI issue. So we sold and bought a multifamily and it was easier to scale that way. Not ideal because we wanted to grow and selling felt like a backwards move, but it was the best move for us at that time.

@Chris Watkins thank you for the shoutout! I can get you connected to the group! We also have a group that meets in Corvallis too.