Househacking to wealth in Phoenix, AZ

[Brandon Andreola]

Investment Info:

Small multi-family (2-4 units) other investment.

Purchase price: $370,000
Cash invested: $2,500

Purchased a two-unit property (Technically an attached guesthouse w/ separate entrance and living space) in a market we specifically moved to based on the growth of the market. Decided we wanted to invest in Phoenix so we determined the best way to do it would be to purchase a property and househack, we rent the additional unit out for 1350 which covers 80% of our mortgage. Sure, its not completely covering expenses, but the equity gain of being in a market that tops the nation in growth is a huge win!

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

It was the best strategy for this market, find a house with an attached unit or guesthouse and airbnb or plug in a long term tenant. Offset cost of living and reap the rewards of being in a market with fantastic growth trends.

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

Although Im an agent, I hadnt yet got my license in AZ, I was still relocating from NC. So I connected with an agent who understood the investor mindset. Knew what househacking was, and understood the best way to do it in this particular market.

How did you finance this deal?

VA Loan - $0 Down

How did you add value to the deal?

Using the additional living space "Casita" or commonly known as guesthouse in other markets to rent/Airbnb to househack and reduce living expenses.

What was the outcome?

Great equity gain, us living for less that $400 a month.

Lessons learned? Challenges?

Definitely connect with an agent who is familiar with the investment strategy you are looking to implement. It took us a few agents before we found the one who understood what we were looking for.

Every marketis different so you have to find a niche in your particular market that works.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Not on here but yes!