House Hacking in college

[Tyler Rebischke]

Hi everyone I was recently on the forums and came across the idea do House hacking. As a college student with some extra money laying around this idea is very interesting to me but I have a few questions. 1. Would anyone with experience house hacking reccomend this? 2. Is it better to buy a 4 br house and rent it out to buddies or buy a duplex and rent one side out 3. If I’m renting omit out to buddies how do I explain to them that I am the owner/landlord so that they don’t get mad but will also pay their rent every month since we are friends?Any answers are very much appreciated 

Thanks

[Joseph Back]

@Tyler Rebischke If you are able to pull off a house hack while in college I think it would be a great idea. I see the most difficult part being qualifying for a bank loan because they are going to look at your 2 income history to judge your ability to make the mortgage payment each month. I am assuming you have been working part time at most throughout the semesters you have been in school so that 2 year income history won't look to good. A potential solution to this issue would be to have your parent co-sign on the loan. 

Regarding duplex versus 4br, I would normally say the duplex because it can be busy to rent out individual bedrooms. However, given you are in college and renting by the bedroom is pretty common I would say it just depends on the numbers.

Lastly, for rent collection I would probably not tell your friend you are the owner and just say a business partner of yours owns the building and is having you manage it for him. That way if any issues or disputes arise you can simply say "my hands are tied, I am going to have to talk to the owner about it".