House Hacking Advice?

[Mason Moyse]

Hey everyone!

I’m excited to join this community as a newbie in the real estate world! After spending several months diving into the ins and outs of the industry, I’ve decided it’s time to take the plunge and start my journey.

My plan? House hacking! I’m looking to team up with two friends who are eager to move out of their parents’ homes. We’ve all agreed that living together would be a win-win: they get to gain independence, and I get to start my real estate investment journey. The idea is to purchase a single-family residence where they would help cover the mortgage, or at least reduce my monthly payments.

I’d love to hear from anyone who has experience with house hacking! Is this a solid strategy? Any tips, insights, or things to watch out for? Your advice would mean a lot as I navigate this exciting new path!

[Cameron Green]

Hey, welcome to the real estate world!

You sound young, and honestly, this is one of the best ideas you could go with. If most of us could go back, we’d house hack and buy a rental every 1-2 years without hesitation. You’re setting yourself up for long-term financial growth, and teaming up with your friends is a smart way to ease into it while covering your mortgage.

A few tips to keep in mind:

• Location is key. Make sure you’re buying in solid cities or neighborhoods that will continue to attract renters. In Cuyahoga County, areas like Lakewood, Ohio City, Tremont, or even parts of Cleveland Heights can be great spots with strong rental demand.
• Think long-term. You’re living there now, but consider whether the house will still make a good rental when you move out. Look at the potential rental income and whether it will cover your costs, including property taxes and maintenance.
• Taxes. Pay attention to property taxes, as they can vary a lot from city to city within Cuyahoga County. Higher taxes can eat into your profit, so do your homework upfront.
• Financing options. You can take advantage of first-time homebuyer programs or low down payment options since you’ll be living in the property.
• Exit strategy. Always have a plan for when you move out. Will the home rent well, or will you need to make improvements first? And keep an eye on what’s happening in the market, so you’re prepared when the time comes.

House hacking is a fantastic way to start building wealth. Just keep adding properties over time, and before you know it, you’ll have a solid portfolio!

Best of luck on your journey, and feel free to reach out if you ever have any more questions!