House Hack- Loudon NH

[Charles Waitt]

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $725,000
Cash invested: $181,500

Single family home with In-Law apartment purchased as a primary residence. In NH, it is legal to rent in law apartments to non family members.

What made you interested in investing in this type of deal?

Discovered Househacking. we decided we wanted to move out of our primary residence to take advantage of househacking. We found a beautiful home we fell in love with overlooking the mountains in NH that had an In-Law apartment. Quickly got it rented out for $1800/month, more than half our mortgage, leaving us with the smallest mortgage payment we've had since our first condo purchase ($193k).

How did you find this deal and how did you negotiate it?

On market. originally listed for $900k. Engaged the seller about our interest but let him know the price was too high for us and that we were interested in taking action $700k. We waited out 3 price drops down to $725K then submitted our written offer.

How did you finance this deal?

proceeds from sale of our primary residence in Pelham, NH

How did you add value to the deal?

removed existing tenant from inlaw apartment who wasnt paying. replaced with new tenants at $400/month more. I have my family here with two young children, so we were very selective when picking a tenant.

What was the outcome?

Everything is going great currently. Tenants are paying on time and respectful of the property.

Lessons learned? Challenges?

Quickly started finding structural issues even after inspections. Many doors installed improperly, water and carpenter ant damage to header above sliding glass door on first floor, started noticing some cracks in walls and foundation. Would pay more attention during inspection and ask inspector to dig deeper once I noticed some of these things.