House Hacking in Long Beach

[Kurtis Foster]

Hi Everyone,

Pretty new to to RE investing and brand new to Bigger Pockets. Been reading a lot on here and Reddit and I'm trying to dial in my strategy for my next property. I've been looking into various areas and property types around LA and I'm starting to focusing in on duplex's in Downtown Long Beach. I'm curious if anyone else has their eye on Long Beach, as it seems like there is appreciation potential and not terrible rent to purchase price ratio (at least by LA standards).

My overall plan:

Just did a cash-out refi on a SFR in San Pedro that I bought a year and a half ago. Refinanced from 3.875% to 2.875%, kept 20% equity in and pulled out 40k. Was able to keep the same monthly payment with the decrease in interest rate and pulling out the 40k appreciation. I'd like to use the cash and possibly additional savings to buy a duplex in Downtown Long Beach likely in the 700k range - live in one unit, rent the other unit out. Seems like it will be a little bit cash flow negative, but that's the price you pay for SoCal real estate and potential appreciation I guess.

Anyone have their eye on Long Beach for house hacking? Downtown LB seems like a pretty good value to me. Significant improvement in recent years and relatively affordable for the quality of life I think.

Any tips for a newbie? Does it seem like I'm on the right track here?

Thanks!

Kurtis