Luxury Duplex House Hack

[Corey Sheridan]

Investment Info:

Small multi-family (2-4 units) buy & hold investment.

Purchase price: $285,000
Cash invested: $10,000

I'm househacking a luxury duplex, 3 bed, 3 bath, 2 car garage, 2100sqft per unit. I live in one and rent out the other. $2100 FHA loan with 3.5% down, tenant in the other side pays $1600/month.

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

All the benefits of househacking + FHA loan. I was able to buy myself a place plus a rental door at the same time.

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

Traditional realtor + Zillow.

How did you finance this deal?

FHA 3.5% down

How did you add value to the deal?

It was poorly marketed (not very good pictures). So the best value I added was being willing to get the appointment to see it and make a move in a VERY hot market summer of 2021.

What was the outcome?

So far, it's going well! I'm living comfortably, and my 13-year-old son has moved in with me on our side.

We treat our tenant well, and they pay on time or early every month with no drama.

Lessons learned? Challenges?

Lesson learned-Think about snow removal/other maintenance more in selecting future properties.

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

My realtor on this deal is out of the game. My lender was very helpful and delivered a great rate-EZ Mortgage in Peoria, IL (Matthew Wilkerson). I'm working with his office again on the next investment.